{"id":48094,"date":"2017-01-26T11:01:00","date_gmt":"2017-01-26T16:01:00","guid":{"rendered":"https:\/\/prefblog.com\/?p=48094"},"modified":"2025-07-09T11:03:20","modified_gmt":"2025-07-09T15:03:20","slug":"bip-pr-d-achieves-small-premium-on-excellent-volume","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=48094","title":{"rendered":"BIP.PR.D Achieves Small Premium On Excellent Volume"},"content":{"rendered":"

Brookfield Infrastructure has announced<\/a>:<\/p>\n

\n

the completion of its previously announced issue of Cumulative Class A Preferred Limited Partnership Units, Series 7 (\u201cSeries 7 Preferred Units\u201d) in the amount of $300,000,000. The offering was underwritten by a syndicate led by CIBC Capital Markets, RBC Capital Markets, Scotiabank, and TD Securities Inc.<\/p>\n

Brookfield Infrastructure issued 12,000,000 Series 7 Preferred Units at a price of $25.00 per unit, for total gross proceeds of $300,000,000. Holders of the Series 7 Preferred Units will be entitled to receive a cumulative quarterly fixed distribution yielding 5.00% annually for the initial period ending March 31, 2022. Thereafter, the distribution rate will be reset every five years at a rate equal to the greater of: (i) the 5-year Government of Canada bond yield plus 3.78%, and (ii) 5.00%. The Series 7 Preferred Units will commence trading on the Toronto Stock Exchange this morning under the ticker symbol BIP.PR.D.<\/p>\n<\/blockquote>\n

BIP.PR.D is a FixedReset, 5.00%+378M500, ROC + Interest, announced January 19<\/a>. It will be tracked by HIMIPref™ and has been assigned to the FixedReset subindex.<\/p>\n

The issue traded 1,272,999 shares today in a range of 25.05-19 before closing at 25.15-17, 10×30. Vital statistics are:<\/p>\n

\n\n\n
BIP.PR.D<\/td>\nFixedReset<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-01-26
\nMaturity Price : 23.20
\nEvaluated at bid price : 25.15
\nBid-YTW : 4.88 %<\/td>\n<\/tr>\n<\/table>\n<\/div>\n

Implied Volatility analysis yields the following chart:<\/p>\n

\"impvol_bip_170126\"<\/a>
Click for Big<\/i><\/div>\n

Update, 2017-10-11<\/b>: Note that according to the prospectus, available on SEDAR<\/a> under “Brookfield Infrastructure Partners L.P. Jan 19 2017 19:48:49 ET Prospectus (non pricing) supplement – English PDF 525 K”:<\/p>\n

\n

The reclassification of a Series 7 Preferred Unit into a Series 8 Preferred Unit or a Series 8 Preferred Unit into a Series 7 Preferred Unit, whether pursuant to an election made by the Resident Holder or pursuant to an automatic reclassification, may be considered to be a disposition of the Series 7 Preferred Unit or Series 8 Preferred Unit by the Resident Holder. The CRA\u2019s position is that the conversion of an interest in a partnership into another interest in the partnership may result in a disposition of the partnership interest by the holder if the conversion results in a significant change in the rights and obligations of the holder in respect of the converted interest, including a significant change in the
\npercentage interest in the profits of the partnership. Whether or not the reclassification of Series 7 Preferred Units into Series 8 Preferred Units or Series 8 Preferred Units into Series 7 Preferred Units would result in a significant change in the percentage interest of a Resident Holder in the profits of the Partnership is a question of fact that depends upon the facts and circumstances that exist at the time of the reclassification.<\/p>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":"

Brookfield Infrastructure has announced: the completion of its previously announced issue of Cumulative Class A Preferred Limited Partnership Units, Series 7 (\u201cSeries 7 Preferred Units\u201d) in the amount of $300,000,000. The offering was underwritten by …<\/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-48094","post","type-post","status-publish","format-standard","hentry","category-issue-comments"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/48094","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=48094"}],"version-history":[{"count":1,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/48094\/revisions"}],"predecessor-version":[{"id":48095,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/48094\/revisions\/48095"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=48094"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=48094"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=48094"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}