Midday Commentary: Market firms; Seaspan to sell $25-par notes; Global Geo files for bankruptcy

By Stephanie N. Rotondo

Phoenix, March 26 - Preferred stocks were inching up in midweek trading.

The Wells Fargo Hybrid and Preferred Securities index was up 4 basis points as of mid-morning.

Seaspan Corp. brought a deal to the primary market, announcing an offering of $25-par notes due April 2019.

Price talk is 6.25% to 6.5%, a trader said, adding that he had not seen any gray market quotes for the paper.

The company's existing 8.25% series E cumulative redeemable preferreds (NYSE: SSWPE) were trading off 15 cents to $25.47 early in the day.

The trader also remarked that he was hearing at least two new deals were slated to come next week, though he did not have any specific names.

In secondary trading, Global Geophysical Services Inc.'s 11.5% series A cumulative preferreds (NYSE: GGSPA) were weakening as the company announced it had filed for bankruptcy.

The preferreds were down 54 cents, or 11.04%, at $4.36. A trader noted that the issue priced Dec. 6 at a discounted price of $23.00 per share.

Last week, the company said it would have to restate several years of earnings and that it was delaying filing its latest 10-K.

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