Enterprise preps notes; Wintrust active, unchanged; Farmer Mac ends lower

By James McCandless

San Antonio, May 15 – The preferred market finished the week declining for another session and with a focus on newer issues.

In primary activity, Enterprise Financial Services Corp. plans to price an offering of fixed-to-floating rate subordinated notes due 2030.

On top of secondary trading, Wintrust Financial Corp.’s recent 6.875% series E fixed-rate reset non-cumulative perpetual preferred stock was active but unchanged.

Elsewhere in the finance space, First Midwest Bancorp, Inc.’s new 7% series A fixed-rate non-cumulative perpetual preferred stock improved.

Sector peer Stifel Financial Corp.’s new 6.125% series C non-cumulative preferred stock ended the session slightly higher.

Rural lender Federal Agricultural Mortgage Corp.’s new 5.75% series E non-cumulative perpetual preferred stock ended lower.

Meanwhile, REIT National Retail Properties, Inc.’s 5.2% series F cumulative redeemable preferreds were under pressure.

Enterprise on tap

In late-week primary activity, Enterprise Financial plans to price an offering of fixed-to-floating rate subordinated notes due 2030.

Piper Sandler & Co. is the bookrunner.

Coupons are payable semiannually.

The coupon is fixed for five years, then converts to the three-month SOFR plus a spread.

The notes are redeemable after five years at par. Prior to that, the notes are redeemable after a change in law that would prevent the company from deducting interest from the notes, a regulatory capital event or if the company is required to register as an investment company.

Wintrust flat

On top of secondary trading, Wintrust’s recent 6.875% series E fixed-rate reset non-cumulative perpetual preferred stock was active but ultimately unchanged.

The preferreds, trading under the temporary symbol “WTFNL,” closed level at $24.75 on volume of about 475,000 shares.

On Thursday, the preferreds chalked off 10 cents.

Elsewhere in the finance space, First Midwest’s new 7% series A fixed-rate non-cumulative perpetual preferred stock marked the day with an improvement.

The preferreds, trading under the temporary symbol “FMEEL,” picked up 5 cents to close at $24.78 with about 318,000 shares.

Sector peer Stifel’s new 6.125% series C non-cumulative preferred stock ended the session in a slightly higher position.

The preferreds, trading under the temporary symbol “STFLL,” gained 1 cent to close at $24.84 on volume of about 281,000 shares.

On Thursday, the preferreds slid 18 cents.

Farmer Mac lower

Rural lending name Farmer Mac’s new 5.75% series E non-cumulative perpetual preferred stock ended trading in a lower position.

The preferreds, trading under the temporary symbol “FAMCP,” shaved off 5 cents to close at $24.45 with about 396,000 shares trading.

National Retail off

Meanwhile, real estate investment trust National Retail’s 5.2% series F cumulative redeemable preferreds were under pressure.

The preferreds (NYSE: NNNPrF) dropped 20 cents to close at $22.91 on volume of about 227,000 shares.

On Friday morning, the company declared a cash dividend for the series F preferreds.

Indexes down

The Wells Fargo Hybrid & Preferred Securities Financial index ended the week down by 0.40%, falling from a 0.03% gain from early Friday morning.

The iShares US Preferred Stock ETF was down 11 cents to $33.44.

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