The hated energy retailer Spark Energy (SPKE) has made a tender offer for their 8.75% Fixed-to-Floating rate preferred (SPKEP).
The tender is at $18/share for up to 1 million shares out of a total outstanding of 3.6 million shares.
Given that the shares are now trading at $19/share I would be surprised to see many takers of the tender, but obviously the tender is meant to convey confidence by management in the company.
I would not be surprised to see more tenders like this–in particular by those companies who believe there is inflation in the future with accompanying higher interest rates.
Thanks to Fabrib for posting this information in the Reader Initiated Alerts Section.