Financial 15 Split II Corp. has not had many of its preferred shares redeemed since issue:
| Financial 15 Split II Preferreds Outstanding | ||
| Period | Action | Shares |
| 2004-10-15 | Issue | 6,700,000 |
| FY 2006 | Redemption | (49,900) |
| Current Outstanding | 6,650,100 | |
The shares are not redeemable by the company (the “Redemption” in the table above is actually Shareholder Retraction, but I’m following the language of the Annual Report): capital unitholders who wish to retract must tender a pref, or get the company to buy one in the market on their behalf.
The company has announced that:
they will hold a special meeting of the shareholders on April 24, 2007. Shareholders of each Fund are being asked to consider a special resolution to amend the articles of Fund to extend the mandatory redemption date for the Class A Shares and the Preferred Shares of each Corp. to December 1, 2014.
This will be a good deal if the 5.25% dividend isn’t decreased simultaneously! I’ll write more as details become available.
[…] PrefBlog Canadian Preferred Shares – Data and Discussion « FFN.PR.A : Meeting to Extend Term? BCE.PR.G : HIMIPref™ Valuation Warning » […]
[…] Now with a pre-tax bid-YTW of 2.55% based on a bid of $10.72 and a hardMaturity 2009-12-1 at $10.00. It would seem the market is expecting the upcoming meeting to extend term. […]
[…] On ZERO volume! Hard to calculate the YTW on this issue … should one use the extant maturity of 2009-12-1 for a pre-tax bid-YTW of 2.90% … or should one assume that the the upcoming meeting will extend maturity to 2014-12-1 with no other changes, which will increase YTW to 4.41%? It makes quite a difference! As does, incidentally, not making the proper allowance for monthly dividends using Kieth Betty’s on-line calculator, so watch it! […]
[…] May be extending term soon, which will be really good for the issue’s fundamentals as long as there is nothing horrible in the as-yet-unreleased details. Now with a pre-tax bid-YTW of 3.52% based on a bid of $10.43 and a hardMaturity 2009-12-1 at $10.00. […]
[…] As previously noted, FFN.PR.A shareholders will be meeting on April 24 to vote on a special resolution. The text of this special resolution has now been released: BE IT RESOLVED AS A SPECIAL RESOLUTION THAT: 1. The Articles of Financial 15 Split Corp. II (the “Fund”) be amended to extend the termination date of the Fund to December 1, 2014. 2. The directors and officers of the Fund be and they are hereby authorized and directed to take such action and to execute and deliver all such documentation as may be necessary or desirable for the implementation of this special resolution. 3. Notwithstanding the provisions hereof, the directors of the Fund may revoke this special resolution at any time prior to the endorsement by the Director of the Certificate of Amendment under the Business Corporations Act (Ontario) giving effect hereto without further approval of the shareholders of the Fund. […]
[…] extant maturity of 2009-12-1 for a pre-tax bid-YTW of 2.90% … or should one assume that the the upcoming meeting will extend maturity to 2014-12-1 with no other changes, which will increase YTW to 4.41%? It makes […]