Tsakos Energy Navigation is selling a new issue of fixed-to-floating rate preferred stock.
The new issue will pay qualified dividends and will be cumulative
The company has 3 fixed rate preferred issues outstanding and they have coupons of 8% to 8.875%. The 8% issue is callable in July and the “use of proceeds” from this issue includes possible redemption of preferred stock. The 8.75% and 8.875% issues are not redeemable until later.
The rate will be fixed until 2028 at a yet to be determined fixed rate and at that point will float at 3 month Libor plus a spread which also is not yet announced.
The issue will have a permanent ticker of TNP-F.
The issue will trade on the OTC Grey market, although the temporary ticker has not been announced.
Here is the preliminary prospectus.
Tsakos preferred C is nice because it has a Failure to Redeem provision.
If the offering size is over $100M then they could use it to call both the B-series in July and C-series in October.
Tim
It would be great if the III website had a list dedicated for the Utility Pfds. category.
Love the website.
Thanks for the work you do
HI George–it will have this listing–and more. My problem right now is I have 3 business–2 of which provide my “grocery” money and they are booming. So for now my time to keep adding is soooo limited.
I own the preferred D-series shares of this Greek oil shipper with a basis slightly below par and have been satisfied.
It will be interesting to see how large this new offering is and at what interest rate(s).
According to https://finance.yahoo.com/news/ten-ltd-announces-pricing-public-211500245.html, it will have a 9.5% yield. Tasty but looks very risky judging from the TNP chart.
International seaways just started trading 8.5% 2023 bond. Any thoughts on them. I am leary on anything that floats what with the current international trade bruhaha
Note there is also a TNP-E 9.25% Call date, 5/28/27, QDI 🙂
Thanks Ward–you are correct of course–it is F-to-F @ 9.25% trading at 25.12. These preferreds are getting a bit spendy for TNP.
The IPO Preferred for Chicken Soup For The Soul symbol is CSSEP. And should start trading soon. Still awaiting the rate and terms. I will update shortly when I get the information. Wishing you profitable investing, Nomad
Thanks Nomad. I have been looking at their SEC filings and no new rate has been updated as of this afternoon. Hopefully it will be available in a few days.