Non publicly traded closed end fund Priority Income Fund has launched a new preferred stock offering.
The company which has vacillated between whether to sell a ‘perpetual’ preferred or a ‘term’ preferred has settled on selling a ‘term’ preferred this go round.
The company has 6 term preferreds currently outstanding with coupons of 6% to 7%. Additionally they have 1 perpetual issue with a 7% coupon which trades much weaker than the term preferreds.
While the company has not stated that they intend to redeem the PRIF-D 7% term preferred (which becomes redeemable 3/31/2022) investors would do well to not over pay for this issue.
The new issue is rated BBB- by Egan Jones.
EarlyBird pointed out this launch.