Preferreds start December firm; Eagle Point prices; Entergy slips; Breitburn Energy down

By Stephanie N. Rotondo

Seattle, Dec. 1 – The preferred stock market was moving back up on Tuesday after losing ground on Monday.

The Wells Fargo Hybrid and Preferred Securities index closed 18 basis points higher. The index ended the previous session off by 20 bps.

The primary space saw a small deal from Eagle Point Credit Co. Inc. price during the session. The Greenwich, Conn.-based investment firm sold $25 million of 7% $25-par unsecured notes due 2020.

The deal came via Incapital LLC. Initial price talk was around 6.625%.

Proceeds will be used to acquire investments and for general working capital purposes.

Meanwhile, Entergy Louisiana LLC’s 6% $25-par first mortgage bonds due 2040 (NYSE: ELB) were softening after the company said late Monday that it was redeeming $32 million of the $150 million outstanding notes.

The bonds ended down 19 cents at $25.45.

The redemption will occur Dec. 30. The redemption price is par plus accrued interest.

Separately, Breitburn Energy Partners LP’s 8.25% series A cumulative redeemable perpetual preferred units (Nasdaq: BBEPP) declined Tuesday after the Los Angeles-based oil and gas company said it was suspending distributions on its common units.

However, the monthly distribution on the series A and B preferred units were declared, though the series B distribution is being paid in kind.

The series A units fell 29 cents, or 3.17%, to $8.86.

© 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.