- Eagle Point Credit (ECC, Financial) boosts its preferred stock offering to an ambitious 8 million shares.
- The shares are priced at $25, targeting a total gross revenue of $200 million.
- The 7.00% Series AA and AB Convertible Perpetual Preferred Stocks offer enticing monthly dividends.
Eagle Point Credit Expands Preferred Stock Offering
Eagle Point Credit Company Inc. (NYSE: ECC) has significantly broadened its preferred stock offering, raising the potential issuance to an impressive 8 million shares. Priced at $25 each, this strategic move seeks to generate a substantial $200 million in gross proceeds. This expanded issuance highlights the company's strong position and investor confidence in its preferred stock offerings.
Exploring the 7.00% Annual Dividend
The offering includes the 7.00% Series AA and Series AB Convertible Perpetual Preferred Stocks. These stocks are designed to attract investors with their appealing 7.00% annual dividend rate. Moreover, dividends are distributed monthly, providing investors with a consistent and reliable income stream. This makes the offering particularly attractive for income-focused investors seeking regular cash flow.
Strategic Implications for Investors
For potential investors, Eagle Point Credit's expanded preferred stock offering represents a compelling opportunity. The combination of a generous dividend yield and the stability of monthly payments could enhance portfolio income. Additionally, the convertible nature of these preferred stocks provides potential upside, aligning with long-term investment strategies aimed at both income and growth.
As the company advances with this offering, it reflects Eagle Point Credit's commitment to leveraging market opportunities to strengthen its financial standing while delivering value to its shareholders. Investors considering adding ECC preferred stocks to their portfolios are advised to evaluate their individual financial goals and risk tolerance.
