Sat, Jul 12, 2014, 4:03 PM EDT - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

Health Care REIT, Inc. Message Board

  • ContraIndicator ContraIndicator Mar 1, 2012 12:50 AM Flag

    HCN issues preferred J to redeem D and F

    This doesn't seem like a non-event to me!

    Is the market perception of the issuing of 6.5%preferred J's not threatening to D and F preferred shareholders? That these two preferreds will not be called for some time?

    The F's, whose share price decreased a small amount today, was still trading at a comfortable premium above par. It had been trading and holding closer to 26 more recently.

    I would have thought this would have traded closer to par. Any reason why buyers are willing to pay a premium knowing that the current trading price (25.45), if held for the next div, and called in after the div, will be a net wash in terms of a gain? (div around 47 cents per quarter for the F)?

    And why would anyone want to buy the preferred J at a yield of 6.5%, when the common stock has been (and expected to remain) strong and yielding only slighly less than the J preferred?

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • Replaced my 2000 shares of the soon to be called Preferred D and F with the new HCN-PJ today with 4000 shares. Best fixed income producer that I can see coming out right now. Not much else out there for newly issued preferreds that is as stable as this company.

    • Couldn't find a way to delete the recently posted message on the preferred J.
      I just read where the F will be redeemed in April, and the process explains why the preferred is currently trading above par.

      I still don't know why someone would find the preferred J more attractive than buying the common at this point.

 
HCN
62.82-0.07(-0.11%)Jul 11 4:05 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.