NorthStar prices preferreds; Gladstone plans issuance; State Street, Safe Bulkers slip

By Christine Van Dusen

Atlanta, May 12 - NorthStar Realty Finance Corp. priced an issue of perpetual preferred stock on a Monday. In secondary trading, the preffereds of State Street Corp. and Safe Bulkers Inc. ticked down.

Safe Bulkers' notes - 8% series C cumulative redeemable preferreds that priced on April 30 - slipped 4 cents to $25.10, a trader said.

The preferreds listed on Friday and traded then at $25.14.

State Street's 5.9% fixed-to-floating non-cumulative preferred stock, series D, dipped 10 cents to close at $26.10 on 806,000 shares in volume, a market source said.

American Capital Agency Corp.'s 7¾% series B cumulative redeemable preferred stock was also fairly active on Monday, rising 10 cents to close at $2.475 on 726,000 shares traded.

American Realty Properties Inc.'s 6.7% series F cumulative redeemable preferred stock moved up 23 cents to $23.83, the source said.

And Goldman Sachs Group Inc.'s 5½% fixed-to-floating non-cumulative preferred stock, series J, ended the day off 8 cents at $23.82 on 476,000 shares traded.

In other news on Monday, Virginia-based specialty finance company Gladstone Capital Corp. announced it would sell shares of its new series 2021 term preferred shares in an underwritten public offering, according to a company announcement.

Janney Montgomery Scott LLC and Sterne, Agee & Leach, Inc. are the joint bookrunners.

The proceeds will be used to redeem all outstanding shares of the company's 7 1/8% series 2016 term preferred shares, to pay down its revolving line of credit and for other general corporate purposes.

NorthStar sells preferreds

In its new offering, New York-based real estate investment trust NorthStar sold $225 million 8¾% series E perpetual cumulative preferred stock, according to a company announcement.

The preferreds came to the market at $25.00 per share.

UBS Investment Bank and Morgan Stanley & Co. LLC were the bookrunners for the Securities and Exchange Commission-registered deal. Barclays, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., J.P. Morgan Securities LLC and Keefe, Bruyette & Woods were the joint lead managers.

There is a $33.75 million 30-day over-allotment option.

The securities are callable after five years at par plus accrued dividends.

The preferreds will be listed on the New York Stock Exchange under the symbol "NRFPE."

The proceeds will be used for general corporate purposes, including the repurchase or repayment of liabilities, as well as in connection with recently announced acquisitions.

Aimco does deal

On Friday, Apartment Investment and Management Co. (Aimco) sold $125 million 6 7/8% perpetual class A cumulative preferred stock at $25.00 per share, according to an FWP filing with the SEC.

Wells Fargo Securities LLC was the bookrunner for the SEC-registered deal.

Dividends will be payable quarterly on the 15th day of January, April, July and October, beginning July 15.

The securities are callable beginning May 16, 2019 at par plus accrued dividends and may also be called upon a change of control.

The issuer has applied to list the preferreds on the NYSE under the symbol "AIVPA."

The $121.06 million in proceeds will be used to repay debt and for general corporate purposes.

Aimco is a Denver-based property operations company.

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