Entering text into the input field will update the search result below

Aspen Insurance Holdings Sells A New Preferred Issue

Tim McPartland profile picture
Tim McPartland's Blog
1.27K Followers
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Summary

  • Banks and Insurance Companies issue non-cumulative preferred stock.
  • While dividends are non-cumulative, dividends are qualified for preferential tax treatment.
  • While shares are investment grade, they are on a negative credit watch.

Aspen Insurance Holdings LTD (NYSE:AHL) has priced a new issue of preferred stock.

The issue, of course, is non-cumulative and is low investment grade (note that both major ratings agencies rate it low investment grade, but both are on negative credit watch).

We expect that this issue will trade tomorrow (Wednesday) with the OTC Grey market ticker in the chart below.

AHL is a fairly large insurer with total assets of around $13 billion.

The pricing term sheet can be read here.

The company has 2 other preferred issues outstanding which can be seen here. Potential investors need to compare all 3 issues to find the one that makes the most sense to them.

Analyst's Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.