Hong Kong's Seaspan 8.25% preferreds increased to $135 million

By Angela McDaniels

Tacoma, Wash., Feb. 13 - The underwriters for Seaspan Corp.'s 8.25% series E cumulative redeemable perpetual preferred stock exercised their over-allotment option for $10 million of additional preferreds, increasing the size of the issue to $135 million.

The underwriters retain an option to purchase up to an additional $8.75 million of preferreds. The option expires March 8, according to a company news release.

As previously reported, the company priced $125 million of the preferreds at par of $25 on Feb. 6. The issue was upsized from an expected $50 million.

BofA Merrill Lynch, Morgan Stanley & Co. LLC, UBS Securities LLC and Citigroup Global Markets Inc. are the joint bookrunners. Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are joint lead managers.

Beginning Feb. 13, 2019, the company can call the preferreds at par plus accrued dividends.

Proceeds will be used for general corporate purposes, which may include vessel acquisitions.

The Hong Kong-based containership company has applied to list the new preferreds on the New York Stock Exchange.

© 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.