Triton International prices; Wells Fargo preferreds top par; MetLife active, unchanged

By James McCandless

San Antonio, Jan. 16 – Activity in the preferred market was largely driven by new issuance Thursday.

In the primary space, Triton International Ltd. priced a $150 million offering of $25-par series D cumulative redeemable perpetual preference shares at par with a dividend of 6.875%.

Leading in the secondary, Wells Fargo & Co.’s new $1.75 billion 4.75% series Z non-cumulative perpetual class A preferred stock finished above par.

Elsewhere in the finance space, Capital One Financial Corp.’s 5% series I fixed-rate non-cumulative perpetual preferreds moved upward.

Insurance name MetLife, Inc.’s recent 4.75% series F non-cumulative preferred stock was active but closed unchanged.

Meanwhile, in telecom, AT&T Inc.’s 5% series A perpetual preferred stock improved by the end of the session.

Real estate developer Brookfield Property Partners LP’s 6.375% series 2 class A cumulative redeemable perpetual preferred units rose.

Triton’s deal

In the primary space on Thursday, Triton priced a $150 million offering of $25-par series D cumulative redeemable perpetual preference shares (B+) at par with a dividend of 6.875%.

There is no greenshoe.

The deal was announced Thursday morning.

Morgan Stanley & Co. LLC, BofA Securities, Inc., RBC Capital Markets, LLC, UBS Securities LLC, Keefe, Bruyette & Woods, Inc. and Goldman Sachs & Co. LLC are the joint bookrunners.

The preferreds are redeemable on or after March 15, 2025 at par. Prior to that, the preferreds are redeemable within 120 days after a change-of-control triggering event.

Wells Fargo tops par

Leading in the secondary market, Wells Fargo’s new $1.75 billion 4.75% series Z non-cumulative perpetual class A preferred stock finished its first day above par.

The preferreds, trading under the temporary symbol “WFCZL,” landed at $25.04 on volume of about 18.8 million shares.

The deal priced on Wednesday.

Elsewhere in the finance space, Capital One’s 5% series I fixed-rate non-cumulative perpetual preferreds moved upward by the afternoon.

The preferreds (NYSE: COFPrI) picked up 13 cents to close at $25.41 with about 334,000 shares trading.

On Wednesday, the preferreds fell 3 cents.

MetLife flat

Insurance name MetLife’s recent 4.75% series F non-cumulative preferred stock was relatively active but unchanged by the close.

The preferreds, trading under the temporary symbol “METFL,” held level to close at $25.30 on volume of about 827,000 shares.

On Wednesday, the preferreds slipped 10 cents.

AT&T up

Meanwhile, in telecom, AT&T’s 5% series A perpetual preferred stock improved by the end of the session.

The preferreds (NYSE: TPrA) gained 8 cents to close at $25.88 with about 466,000 shares trading.

On Wednesday, the preferreds slid 23 cents.

Brookfield better

Real estate developer Brookfield Property Partners’ 6.375% series 2 class A cumulative redeemable perpetual preferred units rose.

The preferreds (Nasdaq: BPYPO) improved by 4 cents to close at $26.10 on volume of about 269,000 shares.

Indexes mixed

The Wells Fargo Hybrid & Preferred Securities Financial index declined by 0.02% at the end of trading, rising from a 0.12% loss from early Thursday trading.

The iShares US Preferred Stock ETF was up 3 cents to $38.01.

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