UPDATE–the OTC grey market ticker is ADCDV. Look for this to change after a day or two (the last digit V to change to something else).
Net lease REIT Agree Realty (ADC) has announced a new perpetual preferred stock issuance.
I am seeing the typical REIT preferred terms for this issue–optionally redeemable in about 5 years, cumulative and non qualified.
The company has no other preferred shares outstanding.
ADC is a very solid net lease REIT with over 1200 properties–68% are leased to investment grade tenents.
For investors wanting a very modest coupon from a solid REIT this issue will provide that coupon. There will be significant downside share price potential if interest rates start moving higher (assuming a coupon in the 4.375% area).
EB was right on top of this one and suggest a coupon in the 4.375% area.