Primo Water Calls Glacier Water Trust Preferreds

NOTE–we can find no public data on this call, but we did receive a copy of my brothers call notice from Fidelity.

The below security was affected by a Full Call:

CUSIP: 376398202
Description: GLACIER WATER TRUST 9.06250% 01/31/2028 PFD

Tonight Primo Water (NASDAQ:PRMW) who has purchased Glacier Water Services Called for the redemption of their 9.06% trust preferred shares on 6/29/2018. With this call date investors will receive an accrued dividend of about 20 cents for a total redemption price of $25.20. Shares closed today at $26.70 meaning there will be a $1.50/share loss from todays price.

We had written about this possibility on 5/14/2018 and at that time had encouraged holders to “sneek out” of their shares at around $26.75 to preserve the capital gain.

At this point in time it is unlikely that you will be able to sell your shares and should be careful about entering an order to sell.  For a day or two after the call announcement your brokerage may require you to repurchase the shares at an unknown price.


9 thoughts on “Primo Water Calls Glacier Water Trust Preferreds”

  1. Thx Tim after our text convo and your follow up on GWSVP I got out at $26.60.. Then it did get called after all .Much appreciated

    1. G–good job. Once in a while even a blind squirrel finds a nut–and I guess I did.

    1. Hi Chris–then you have more than doubled your money on it. I’m afraid a lot of folks have to look for a new home for $$$ now.

      1. Thanks for the update Tim. While I don’t own any of the shares, I had actually placed an order to short some of these preferred shares – but it was rejected by my brokerage company. It would have been a nice profit on a short position if my order would have been allowed!

  2. Sorry to hear about you bro missed selling. I want to thank you for covering gwsvp over at seeking alpha it provide me and my Dad sweet returns. We got out on the 14th as you suggested.

    1. HI Dave–glad you got out. I looked back and the first time I wrote on it was in 2011–I hate to see an old favorite go.

      Like you my brother and I have enjoyed a lot of nice dividends—if I remember right he bought around $18/share so he did just fine over the years.

  3. Good call, Tim….I had already chickened out a few weeks ago and bailed…But if I hadnt I would have got out on your suggestion, I promise!

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