Late Friday utility NiSource announced a call of their 6.50% perpetual fixed-rate reset preferred (NI-B) for 3/15/2024, which is the first date it is callable.
NI-B is one of my larger holdings so am sad to see it go, but it is not a big surprise. I may sell before 3/15/2024 or may just hold through the call – we are talking pennies differences.
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I think NI-B was qualified. Mine was in a taxable account. Anyone have a qualified alternative? I have SR-A already.
You might want to check out CTA-B
Tim; Any ideas as to what you are going to replace it with??? I own 9,300 shares so like You it makes me sad too. Hard to find something in this market that is an actual bargain. I hunt daily but not much out there to get excited over. The pipelines are always “On Sale” but I already own a boatload of them so don’t need any more.
You may look at RIV-A to replace NI-B being called. It is A- rated with 6% coupon fixed, not callable till 2027. Was a better buy in low $23s a while back
The press release says: “The previously declared dividends of $406.25 per share of the Series B Preferred Stock (equal to $0.40625 per Depositary Share) for the full regular quarterly dividend period from, and including, December 15, 2023 to, but excluding, March 15, 2024 will be paid separately on March 15, 2024 to holders of record on February 23, 2024 in the customary manner. Accordingly, the redemption price of $25.00001 per Depositary Share does not include any accumulated and unpaid dividends. On and after the Redemption Date, dividends on the redeemed Series B Preferred Stock and the corresponding Depositary Shares will cease to accumulate.
Am I misreading this in thinking we can sell Feb 24 and still get the full dividend even though the divi covers the period through March 14th?
as a replacement, you might look at et-e
currently about 25.07 and paying about 7.5 percent
ET said they would call it in may when it becomes callable. May 15.
that should pay out at around 25.47