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?