We had noted yesterday that Stellus Capital (SCM) was calling their 5.75% baby bonds with proceeds from a new $1000/ note issue.
The $1000 issue priced at 4.875%.
Additionally, as noted by EarlyBird this morning. the reopening of the 7.50% perpetual preferred by Franchise Group (FRG) was priced at $25.20 for about 3 million shares.
You don’t see too many preferreds that are redeemable at $25/share able to issue a secondary at a price that is 20 cents higher.
Well done by the underwriters of FRGAP on this one.
The last time I saw this was with AFINP – believe AFIN did a secondary in September of 2019 of AFINP at $25+ some change. Six months later the preferred traded down to $7 when panic set in as the pandemic started.
Picked up a few FRGAP around 24.7.