CLO CEF Oxford Lane Capital has priced a relatively large issue of baby bonds with 6.6 million shares (bonds) being sold. Additionally there are 990,000 shares available for over allotment.
The shares price at 7.95% and have a maturity date of 2/29/2032.
The company has numerous other term preferreds and baby bonds outstanding that should be reviewed and compared to this new issue before buying decisions are made.
The pricing term sheet can be seen here.
Yield should be higher than 7.95% as the term of 7 years is greater than the norm of 5 years…Greater risk =higher yield.
Payday–I was kind of thinking the same thing. Let’s see if it trade down once it is out there.
First, agree with the User Agreement, enter the Cusip 691543854, then search. Click trade history on next page. Last trade $24.44.
https://www.finra.org/finra-data/fixed-income