STW.PR.A : Stealth Redemption?

I praised this issue as recently as yesterday:

This interest-bearing split-share is an attractive issue for RRSP-buyers: a call premium (currently callable at 10.60; declines by $0.20 at the beginning of every calendar year) ensures that if you do get called due to capital unit retractions, at least you get paid for your trouble.

I am now given to understand that this issue was partially called on December 19, with about one-eighth of the issue redeemed at the very nice price (for pref holders!) of $10.60. I have a high degree of confidence in this information.

This is very strange.

There’s no press release.

There’s nothing on their website.

There’s not even anything on SEDAR.

Those who have recently purchased the issue (it has rarely closed above $10.30 since mid-October) will be rather pleased Рbut really, the company could do a better job of communication.

¬†Update : There was an error in the HIMIPref™ database for the last dividend: the ex-Date should have been 12/27, not 12/28, which will have affected the reported daily return for 12/27 and 12/28. This has now been fixed. My apologies.

2 Responses to “STW.PR.A : Stealth Redemption?”

  1. […] We shall see how far (if at all!) the price of preferred securities goes up in response to the bid … the recent partial redemption at $10.60 has already been a windfall to holders! […]

  2. […] STW.PR.A was last mentioned on PrefBlog in December, 2006, in connection with their stealth redemption. […]

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