Still Waiting on Pricing

We are still awaiting pricing on a number of previously announced new issues.

Insurance/annuity company American Equity Investment Life Holding Co (AEL) announced a new issue on Tuesday the 12th. This will be a fixed-rate reset preferred–non cumulative when it comes.

Global Ship Lease (GSL) announced a new baby bond yesterday. This will be a senior unsecured note with a maturity date in 2024–the company has indicated pricing in the 8% area.

Priority Income Fund (nontraded) filed a registration statement a couple of weeks ago indicating a potential new term preferred would be coming. Typically Priority announces these and then it takes 3-4 weeks before we see anything firm on an actual sale.
Given that they have 5 issues outstanding whether they sell another new issue is of little consequence to me–I have a little taste of the PRIF-D 7% issue already.

We will post as soon as further info becomes available.

13 thoughts on “Still Waiting on Pricing”

    1. Got it Ken–looks interesting. I need to do a little DD then a small position is possible.

  1. AEL resets to 5yr CMT + 432.2bps from and including 12/1/2024
    Resetting every 5 years thereafter

          1. A rather different business and level of risk from Amtrust. With that said, I have no been crazy about the annuity business. So, the question is whether to buy 1/4, 1/2, 3/4 or full position and how long to hold it. This is going in my tactical “bucket” not my long term holdings bucket. I actually have no insurance companies in my long term holding bucket. Plus, I have enough fixed rate, 5 year resets issues from Canada. Will see what the market reaction to this is. At that end of the day this is mid-range Junk as BB indicates. Aside from the Gladstone Commerical, this will be my lowest-rated holding

Leave a Reply

Your email address will not be published. Required fields are marked *