{"id":4197,"date":"2008-11-27T18:56:39","date_gmt":"2008-11-27T22:56:39","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=4197"},"modified":"2008-11-27T18:56:39","modified_gmt":"2008-11-27T22:56:39","slug":"cbupra-completes-investment-of-new-issue-proceeds","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=4197","title":{"rendered":"CBU.PR.A Completes Investment of New Issue Proceeds"},"content":{"rendered":"<p>Ordinarily this wouldn&#8217;t be worth a post. A split-share company starts up, they get a cheque from the underwriters, they put it to work. Big deal.<\/p>\n<p>On this occasion, however, the <a href=\"http:\/\/www.marketwire.com\/press-release\/First-Asset-Canbanc-Split-Corp-TSX-CBU-924952.html\">announcement from First Asset<\/a> had a certain Wow! factor:<\/p>\n<blockquote><p>When the preliminary prospectus was filed on September 10, 2008, the approximate dividend yield on the Portfolio would have been approximately 4.74% with the Preferred Shares having initial dividend coverage of 172%. As a result of the sell off prior to and during the investing period, the yield of the acquired Portfolio is 6.06% with dividend coverage of the Preferred Shares of 218% with approximately $0.25\/Unit per annum of initial excess cash flow after deducting expenses. Any such excess cash flow will contribute to the growth of the Net Asset Value of the Company.<\/p><\/blockquote>\n<p>The closing of this issue <a href=\"http:\/\/www.prefblog.com\/?p=3927\">was reported on PrefBlog<\/a>. CBU.PR.A will not be tracked by HIMIPref\u2122. It\u2019s a shame, given the fat coupon and the 2.5:1 asset coverage, but it\u2019s just too small to trade efficiently.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Ordinarily this wouldn&#8217;t be worth a post. A split-share company starts up, they get a cheque from the underwriters, they put it to work. Big deal. On this occasion, however, the announcement from First Asset &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"class_list":["post-4197","post","type-post","status-publish","format-standard","hentry","category-issue-comments"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/4197","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4197"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/4197\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4197"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4197"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4197"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}