TD New Issue: 5.6% Perpetual

Hard on the heels of the BNS new issue comes TD Bank’s offering:

Issue: Non-cumulative Class A First Preferred Shares, Series Q

Size: 6-million shares = $150-million. Greenshoe option of up to 2-million shares.

Ratings: DBRS, Pfd-1; S&P P-1(low); Moody’s Aa2

Dividends: $1.40 per annum (5.6%), paid quarterly. First dividend payable April 30, 2008, for $0.345205, assuming closing of January 31.

Redemption: Redeemable at $26.00 commencing January 31, 2013; redemption price declines by $0.25 annually until January 31, 2017; redeemable at $25.00 thereafter.

More later.

Update: Looks good, with a curvePrice of $25.45 based on the yield curve as calculated for Ontario high marginal rates as of the close Jan. 21.

Issue Fair Value
by HIMIPref™
Quote 1/21 Dividend Pre-Tax
TD.PR.O 23.02 23.15-20 1.2125 5.25%
TD.PR.P 24.37 24.06-49 1.2125 5.47%
CM.PR.E 24.13 23.75-98 1.4000 5.92%
TD Series Q
New Issue
25.45 Not
1.4000 5.60%

More later

Update, 2008-1-26: Curve price as of the close 1/25 is $25.14.

Update, 2008-1-30: Symbol is TD.PR.Q

2 Responses to “TD New Issue: 5.6% Perpetual”

  1. jiHymas says:

    Originally posted by Assiduous Reader Kaspu on another thread … JH

    new td issue 5.6%… rumors of a CM 5.7% coming soon

  2. […] TD.PR.Q, which was announced shortly after BNS.PR.O was announced, commenced trading today and fears of a debacle were not realized. It traded 433,512 shares to close at 25.11-14, 6×19. […]

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