Bank of America taps market; Energy Transfer’s new issue below par; Citigroup slides

By James McCandless

San Antonio, July 17 – The preferred primary space saw new issues for the first time in a few weeks as the secondary market saw more declines on Tuesday.

Bank of America Corp. sold $854 million of $25-par series HH non-cumulative perpetual preferred stock with a 5.875% dividend at the tight end of talk and larger than the $250 million originally expected.

The company’s older series GG preferreds continued to slide in the secondary market. Those preferreds (NYSE: BACPrB) were down 25 cents to $25.88 with about 1,045,000 shares trading.

Meanwhile, Energy Transfer Partners, LP’s new $400 million 7.625% series D fixed-to-floating rate cumulative redeemable perpetual preferred units were seen trading below par as the market closed.

The preferreds, trading under the temporary ticker “ETPZF,” were spotted at $24.85 at market close on volume of about 7,612,000 shares for the day.

Citigroup Inc.’s 7.875% fixed-to-floating rate trust preferred securities declined.

The preferreds (NYSE: CPrN) were down 14 cents to close at $27.05 with about 371,000 shares trading.

The Wells Fargo Hybrid & Preferred Securities Financial index was down 0.27% at market close, almost doubling the 0.14% decrease in early trading on Tuesday.

The iShares US Preferred Stock ETF was down 6 cents to $37.54.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.