Regional banker KeyCorp (NYSE:KEY) has priced their new fixed rate preferred with an rate of 5.625%.
The issue is rated Baa3 by Moody’s, BB+ by S&P and BB by Fitch–so a split rating either low investment grade or very highly rated non investment grade.
The issue is non-cumulative since it is a bank, but the dividends will be qualified for special tax treatment.
The company is selling 18 million shares and they will become optionally redeemable on 9/15/2024.
Shares are set up to begin trading tomorrow on the OTC Grey market under the temporary ticker KEYLL.