Brookfield has announced a new Cumulative Perpetual Preferred issue, Series 18.
Size : $200-million ( = 8-million shares @ $25.00) prior to over-allotment)
Closing : May 9, 2007
Dividends : 4.75%, first dividend payable July 31 (short first coupon)
Redemption Schedule :
BAM 4.75 Perp Redemption Schedule | ||
From | To | Price |
2012-07-31 | 2013-07-30 | $26.00 |
2013-07-31 | 2014-07-30 | 25.75 |
2014-07-31 | 2015-07-30 | 25.50 |
2015-07-31 | 2016-07-30 | 25.25 |
2016-07-31 | INFINITE DATE | 25.00 |
Brookfield Asset Management is rated Pfd-2(low) by DBRS and P-2 (stable) by S&P.
More Later
Hi James: is this a worthwhile investment, or does your analysis show the need for caution ? The yield appears enticing.
There is ALWAYS a need for caution!
When you are buying a $100 GIC from the biggest bank in town there is a need for caution!
I cannot give specific portfolio advice here. I will say, however, that the terms of this issue are very similar to the extant BAM.PR.M issue … draw your own conclusions.
[…] BAM currently has the following preferred share issues outstanding : BAM.PR.B BAM.PR.C BAM.PR.E BAM.PR.G BAM.PR.H BAM.PR.I BAM.PR.J BAM.PR.K BAM.PR.L BAM.PR.M BAM.PR.T and there is a new perpetual coming out soon. […]
[…] The previously announced new issue of BAM 4.75% Perpetuals started trading today under the symbol BAM.PR.N … and I can’t believe my eyes! […]
[…] Now with a pre-tax bid-YTW of 4.82% based on a bid of 24.80 and a limitMaturity. These fell 0.44% today … almost certainly due to the very similar new issue announced today. […]
[…] It is not my habit to include such an incomparable comparable as the BAM new issue, but I just couldn’t resist! BAM has a boatload of preferreds outstanding, and if we can blame overall market tone and angst for today’s RY.PR.G debacle, then the May 9 BAM settlement could prove interesting in the extreme. […]