PrefBlog

The Toronto-Dominion Bank has announced:

that it will exercise its right to redeem all of its 28,000,000 outstanding Non-Cumulative 5-Year Rate Reset Class A First Preferred Shares, Series 12 (Non-Viability Contingent Capital) (the “Series 12 Shares”) on April 30, 2021 at the price of $25.00 per Series 12 Share for an aggregate total of approximately $700 million.

On February 25, 2021, TD announced that dividends of $0.34375 per Series 12 Share had been declared. These will be the final dividends on the Series 12 Shares, and will be paid in the usual manner on April 30, 2021 to shareholders of record on April 9, 2021, as previously announced. After April 30, 2021, the Series 12 Shares will cease to be entitled to dividends and the only remaining rights of holders of such shares will be to receive payment of the redemption amount.

Beneficial holders who are not directly the registered holder of Series 12 Shares should contact the financial institution, broker or other intermediary through which they hold these shares to confirm how they will receive their redemption proceeds. Inquiries should be directed to our Registrar and Transfer Agent, AST Trust Company (Canada), at 1-800-387-0825 (or in Toronto 416-682-3860).

TD.PF.G is a FixedReset, 5.50%+466, NVCC-compliant issue that commenced trading 2016-1-14 after being announced 2016-1-5.

Thanks to Assiduous Reader CanSiamCyp for ensuring I did not miss this!

RF Capital Group Inc. has announced:

that after having taken into account all election notices received by the March 16, 2021 conversion deadline in respect of the Cumulative 5-Year Rate Reset Preferred Shares, Series B (the Series B Shares) and Cumulative Floating Rate Preferred Shares, Series C (the Series C Shares), if the Company were to give effect to such notices there would be only 905,752 Series C Shares outstanding after the conversation date of March 31, 2021 (the Conversion Date).

The terms of the Series B Shares provide that if, after giving effect to all election notices at the close of business on March 16, 2021, there would be outstanding less than 1 million Series C Shares after the Conversion Date, then no holders of Series B Shares are permitted to convert their Series B Shares into Series C Shares. Accordingly, the holders of the Series B Shares are not entitled to convert their shares.

The terms of the Series C Shares provide that if, after giving effect to all election notices at the close of business on March 16, 2021, there would remain outstanding less than 1 million Series C Shares after the Conversion Date, then all remaining outstanding Series C Shares will automatically convert into Series B Shares, on a one-for-one basis, on the Conversion Date. Accordingly, on March 31, 2021, all Series C Shares will automatically convert to Series B Shares on the basis of one Series B Share for each Series C Share.

Effective as of the Conversion Date there will be 4.6 million Series B Shares listed on the Toronto Stock Exchange under the symbol RCG.PR.B.

RCG.PR.B was issued as GMP.PR.B, a FixedReset 5.50%+289, which commenced trading 2011-2-22 after being announced 2011-2-1. The notice of extension was reported on PrefBlog. The issue reset at 3.611% in 2016; there was a 22% conversion to GMP.PR.C. It is tracked by HIMIPref™ but is relegated to the Scraps index on credit concerns. The ticker was changed from GMP.PR.B to RCG.PR.B in 2020, following a name change. The issue reset to 3.73% in 2021.

RCG.PR.C is a FloatingReset, Bills+289, that came into existence via a 22% conversion from GMP.PR.B in 2016. The ticker was changed from GMP.PR.C to RCG.PR.C in 2020, following a name change.

TransAlta Corporation has announced (on March 18):

that (i) 1,417,338 of its 10,175,380 currently outstanding Cumulative Redeemable Rate Reset First Preferred Shares, Series A (“Series A Shares”) will be converted on March 31, 2021, on a one-for-one basis, into Cumulative Redeemable Floating Rate First Preferred Shares, Series B (“Series B Shares”), and (ii) 871,871 of its 1,824,620 currently outstanding Series B Shares will be converted on March 31, 2021, on a one-for-one basis, into Series A Shares. As a result, on March 31, 2021, the Company will have 9,629,913 Series A Shares issued and outstanding and 2,370,087 Series B Shares issued and outstanding.

The Series A Shares and Series B Shares are currently listed on the Toronto Stock Exchange under the symbols TA.PR.D and TA.PR.E, respectively.

TA.PR.D was issued as a FixedReset, 4.60%+203, that commenced trading 2010-12-10 after being announced 2010-12-2. In 2016, it reset to 2.709%. I recommended against conversion, but there was a 15% conversion to the FloatingReset, TA.PR.E, anyway. The issue reset to 2.877% in 2021.

TA.PR.E is a FloatingReset, Bills+203, that arose via a partial conversion from the FixedReset, TA.PR.D.

Partners Value Split Corp. has announced (on March 15):

its intention to redeem all 7,990,000 of its Class AA Preferred Shares, Series 6 (“Preferred Shares, Series 6”) for cash on March 31, 2021 (the “Redemption Date”) in accordance with the terms of the Preferred Shares, Series 6.

The redemption price per Preferred Shares, Series 6 will be equal to C$25.25 plus accrued and unpaid dividends of C$0.09272 per share to March 30, 2021 representing a total redemption price of C$25.34272 per share (the “Redemption Price”).

Notice will be delivered to holders of the Preferred Shares, Series 6 in accordance with the terms of the Preferred Shares, Series 6.

From and after the Redemption Date, the Preferred Shares, Series 6 will cease to be entitled to dividends or any other participation in any distribution of the assets of the Company and the holders thereof shall not be entitled to exercise any of their other rights as shareholders in respect thereof except to receive the Redemption Price (less any tax required to be deducted and withheld by the Company). After the redemption of the Preferred Shares, Series 6, the Company will consolidate the existing capital shares held by Partners Value Investments Inc. so that there are an equal number of preferred shares and capital shares outstanding.

Given that the directors and officers of PVS:

• Frank N.C. Lochan
• James L.R. Kelly
• Ralph J. Zarboni
• Brian D. Lawson
• Leslie Yuen
• Bryan Sinclair
• Loretta M. Corso

continue to be a useless pack of bozos, this information is not yet available on the company website.

The intent to redeem this issue was announced in September, 2020; the issue commenced trading in July 2014 as BNA.PR.F, a SplitShare, 4.50%, with 7-year term announced 2014-6-16 but the ticker symbol was changed in July 2014.

Note that the $0.25 redemption premium is taxable as a dividend. Some investors may wish to sell on the market prior to the redemption so that the market premium (probably a few pennies less than $0.25) is taxed as a capital gain, which may be offset be capital losses on other trades.
Update, 2021-3-22 The press release finally made its appearance on the company website.