Obbligazioni in dollari Keep Calm And Invest Preferred Shares Usa
Fabrib
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Industrial REIT Monmouth Sells a Refinancing Preferred
September 7, 2016
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Monmouth Real Estate Investment Corporation (NYSE:MNR) has sold a 6.125% cumulative, redeemable preferred stock issue with the intention of redeeming their outstanding Series B preferred. The issue to be redeemed carries a coupon of 7.625% meaning MNR will reduce their annual costs by near $2 million annually. While the 6.125% coupon seems a bit stingy it is what is available in this yield starved market.
The new issue has all the typical preferred stock terms. The issue is cumulative in respect to dividends, redeemable after approximately 5 years and since MNR is a REIT the dividend payments are NOT qualified for preferential tax treatment.
Monmouth owns 100 buildings throughout the United States which they lease to quality companies such as Coca-Cola, General Electric, ConAgra and Snap-on-Tools. Total annual rental receipts are in the $80 million dollar area, making MNR a rather small REIT, but they bring a significant portion of revenue to the net income line.
Details of this new preferred issue can be found here.
The new issue began trading on the OTC Grey Market on Wednesday under the ticker MONMP and is trading in the $25/share area. For those not familiar with purchasing new issues on the OTC Grey Market you can find our short “primer” here.
September 7, 2016
FacebookGoogle+Condividi
Monmouth Real Estate Investment Corporation (NYSE:MNR) has sold a 6.125% cumulative, redeemable preferred stock issue with the intention of redeeming their outstanding Series B preferred. The issue to be redeemed carries a coupon of 7.625% meaning MNR will reduce their annual costs by near $2 million annually. While the 6.125% coupon seems a bit stingy it is what is available in this yield starved market.
The new issue has all the typical preferred stock terms. The issue is cumulative in respect to dividends, redeemable after approximately 5 years and since MNR is a REIT the dividend payments are NOT qualified for preferential tax treatment.
Monmouth owns 100 buildings throughout the United States which they lease to quality companies such as Coca-Cola, General Electric, ConAgra and Snap-on-Tools. Total annual rental receipts are in the $80 million dollar area, making MNR a rather small REIT, but they bring a significant portion of revenue to the net income line.
Details of this new preferred issue can be found here.
The new issue began trading on the OTC Grey Market on Wednesday under the ticker MONMP and is trading in the $25/share area. For those not familiar with purchasing new issues on the OTC Grey Market you can find our short “primer” here.
Fabrib
Forumer storico
Mors tua, vita mea:
Hanjin funding plan faces further delay
Sep 9 2016, 03:57 ET | About: Hanjin Shipping Co., Ltd. (HNJSF) | By: Yoel Minkoff, SA News Editor
Korean Air Lines, the biggest shareholder in Hanjin Shipping (OTC:HNJSF), hasdelayed a decision on a funding plan for the troubled company for a second time, adding to the uncertainty of around $14B of cargo stranded at sea.
With Hanjin's future in doubt, carriers have announced they will hike container freight rates by as much as 50% beginning next month as retailers scramble to secure shipping ahead of the peak year-end holiday season.
Related tickers: SHIP, EGLE, GNK, SINO, DRYS, NM, SBLK, DCIX, BALT, SFL,KEX, SB, SALT, DSX, GOGL, MATX, EURN, NNA, UPS, FDX
ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, FXD, RHS, FDIS, FSTA,RCD, PMR, JHMC, JHMS, CNSF, CNDF
Hanjin funding plan faces further delay
Sep 9 2016, 03:57 ET | About: Hanjin Shipping Co., Ltd. (HNJSF) | By: Yoel Minkoff, SA News Editor
Korean Air Lines, the biggest shareholder in Hanjin Shipping (OTC:HNJSF), hasdelayed a decision on a funding plan for the troubled company for a second time, adding to the uncertainty of around $14B of cargo stranded at sea.
With Hanjin's future in doubt, carriers have announced they will hike container freight rates by as much as 50% beginning next month as retailers scramble to secure shipping ahead of the peak year-end holiday season.
Related tickers: SHIP, EGLE, GNK, SINO, DRYS, NM, SBLK, DCIX, BALT, SFL,KEX, SB, SALT, DSX, GOGL, MATX, EURN, NNA, UPS, FDX
ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, FXD, RHS, FDIS, FSTA,RCD, PMR, JHMC, JHMS, CNSF, CNDF
pv78
Forumer attivo
Joe Silver
Forumer storico
Sbaglio o ribassi generalizzati?
mavalà
Forumer storico
e in alcuni casi anche sostanziosi:
uscendo un po' dal mio solito seminato, ho preso un po' di convertibili FTRPR (Frontier Comm.), KMIpA (Kinder Morgan) e RYAMpA (Rayonier)
NoWay
It's time to play the game
Rosengren (o meglio il pretesto di Rosengren) ha colpito anche qui...
Fabrib
Forumer storico
Eh si, ieri sera un bel bagno! Presa per mia madre la nuova Medley a 24,35
Ultima modifica:
NoWay
It's time to play the game
Mai sentita, ma ne parlano su Seeking...
Rayonier Advanced Materials, 8.00% Series A Mandatory Conv Preferred Stock (RYAM-A) dropped 10% on Friday pushing the yield to 9%.
RYAM has the free cash flow to pay the dividend with prospects for future growth.
The first bargain that I added to the array of portfolios I manage was Rayonier Advanced Materials, 8.00% Series A Mandatory Conv Preferred Stock (RYAM-A). I had purchased a few shares at $97.00 per share soon after the initial offering. As I watched it descend on Friday, I began adding shares to my own portfolio and to other portfolios I manage at $87.50 to $89.00 per share since at $89.00 per share it offers a 9% yield.
This stock has several interesting provisions not often found in other preferred issues. The first is that its dividend is eligible for the 15% tax rate and the second is that it must be converted to common stock on 8/15/2019. (Quantumonline.com) At the time of conversion one gets 6.5923 shares of Rayonier common if the price equals or exceeds $15.17 per share or 7.7459 shares if the market price is $12.91 or less. Conversions between these two prices will be apportioned dollar for dollar, or in other words one will get common shares that will equal $100.00, the original offering price of the preferred. Because of the mandatory conversion RYAM-A will likely track the common stock price more closely than is usual among preferred issues and will increasingly do so as the conversion time nears.
Rayonier Advanced Materials, Inc. (NYSE:RYAM) is the leading supplier of high-purity cellulose specialty products with plants in Georgia and Florida. The company produces acetates used in plastics, films, textiles and filters, ethers used paint, industrial coatings, food and pharmaceuticals, fluff pulp used in baby diapers and other absorbent pads and other products used in tires, food products and automotive filters.
RYAM has targeted $75 - $90 million in cost improvements to implement over the next 3 years as well as a 10 year plan to develop new products that will enhance revenues by 20%. (Investor Presentation 9/1/2016) The company has also reduced its debt load from $941 million to $646 million since mid-2014 when RYAM became a standalone company. While the company does not appear to be growing at the moment, management appears to be on the right track to maintain cash flow and eventually increase sales.
The preferred stock of RYAM appears to be a safe bet for the $2.00 per quarterly dividend it offers over the next 3 years. On the other hand, I will likely sell the preferred prior to the mandated conversion to common shares unless the stock is selling above $15.00 per share.
Rayonier Advanced Materials, 8.00% Series A Mandatory Conv Preferred Stock (RYAM-A) dropped 10% on Friday pushing the yield to 9%.
RYAM has the free cash flow to pay the dividend with prospects for future growth.
The first bargain that I added to the array of portfolios I manage was Rayonier Advanced Materials, 8.00% Series A Mandatory Conv Preferred Stock (RYAM-A). I had purchased a few shares at $97.00 per share soon after the initial offering. As I watched it descend on Friday, I began adding shares to my own portfolio and to other portfolios I manage at $87.50 to $89.00 per share since at $89.00 per share it offers a 9% yield.
This stock has several interesting provisions not often found in other preferred issues. The first is that its dividend is eligible for the 15% tax rate and the second is that it must be converted to common stock on 8/15/2019. (Quantumonline.com) At the time of conversion one gets 6.5923 shares of Rayonier common if the price equals or exceeds $15.17 per share or 7.7459 shares if the market price is $12.91 or less. Conversions between these two prices will be apportioned dollar for dollar, or in other words one will get common shares that will equal $100.00, the original offering price of the preferred. Because of the mandatory conversion RYAM-A will likely track the common stock price more closely than is usual among preferred issues and will increasingly do so as the conversion time nears.
Rayonier Advanced Materials, Inc. (NYSE:RYAM) is the leading supplier of high-purity cellulose specialty products with plants in Georgia and Florida. The company produces acetates used in plastics, films, textiles and filters, ethers used paint, industrial coatings, food and pharmaceuticals, fluff pulp used in baby diapers and other absorbent pads and other products used in tires, food products and automotive filters.
RYAM has targeted $75 - $90 million in cost improvements to implement over the next 3 years as well as a 10 year plan to develop new products that will enhance revenues by 20%. (Investor Presentation 9/1/2016) The company has also reduced its debt load from $941 million to $646 million since mid-2014 when RYAM became a standalone company. While the company does not appear to be growing at the moment, management appears to be on the right track to maintain cash flow and eventually increase sales.
The preferred stock of RYAM appears to be a safe bet for the $2.00 per quarterly dividend it offers over the next 3 years. On the other hand, I will likely sell the preferred prior to the mandated conversion to common shares unless the stock is selling above $15.00 per share.
