{"id":49045,"date":"2018-01-22T20:32:00","date_gmt":"2018-01-23T01:32:00","guid":{"rendered":"https:\/\/prefblog.com\/?p=49045"},"modified":"2025-08-05T20:34:43","modified_gmt":"2025-08-06T00:34:43","slug":"na-pr-e-settles-soft-on-modest-volume","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=49045","title":{"rendered":"NA.PR.E Settles Soft on Modest Volume"},"content":{"rendered":"

National Bank of Canada has announced<\/a>:<\/p>\n

\n

that it has closed its domestic public offering of non-cumulative 5-year rate reset first preferred shares series 40 (non-viability contingent capital (NVCC)) (the \u201cSeries 40 Preferred Shares\u201d). National Bank issued 12 million Series 40 Preferred Shares at a price of $25.00 per share to raise gross proceeds of $300 million.<\/p>\n

The offering was underwritten by a syndicate led by National Bank Financial Inc.<\/p>\n

The Series 40 Preferred Shares will commence trading on the Toronto Stock Exchange today under the ticker symbol NA.PR.E.<\/p>\n

The Series 40 Preferred Shares were issued under a prospectus supplement dated January 15, 2018 to National Bank’s short form base shelf prospectus dated November 21, 2016.<\/p>\n<\/blockquote>\n

NA.PR.E is a FixedReset, 4.60%+258, NVCC-Compliant, announced January 12<\/a>. It will be tracked by HIMIPref™ and has been assigned to the FixedReset subindex.<\/p>\n

The issue traded 357,595 shares today in a range of 24.77-89 before closing at 24.78-80. Vital statistics are:<\/p>\n

\n\n\n
NA.PR.E<\/td>\nFixedReset<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2048-01-22
\nMaturity Price : 23.07
\nEvaluated at bid price : 24.78
\nBid-YTW : 4.56 %<\/td>\n<\/tr>\n<\/table>\n<\/div>\n

This issue looks quite expensive to me, according to Implied Volatility Analysis<\/a>:<\/p>\n

\"impvol_na_180122\"<\/a>
Click for Big<\/i><\/div>\n

We see in this chart many of the same features we saw when reviewing the recent BPO new issue<\/a> and BEP.PR.M<\/a> and CM.PR.S<\/a>:<\/p>\n