KSP.UN Downgraded to Pfd-4 by DBRS

DBRS has announced that it:

has today downgraded the LROC Preferred Units issued by Kingsway Linked Return of Capital Trust to Pfd-4 from Pfd-3. The rating remains Under Review with Negative Implications, where it was initially placed on February 10, 2009.

The LROC Preferred Units are supported by an exposure to a note guaranteed by Kingsway Financial Services Inc. and Kingsway America Inc. (collectively, Kingsway) through a forward purchase agreement. The downgrade of the LROC Preferred Units is a result of DBRS downgrading the long-term debt ratings of Kingsway on June 4, 2009, to BB (low) from BBB (low) and leaving the ratings Under Review with Negative Implications.

The DBRS downgrade of Kingsway has been previously discussed on PrefBlog.

KSP.UN is not tracked by HIMIPref™.

5 Responses to “KSP.UN Downgraded to Pfd-4 by DBRS”

  1. pugwash says:

    According to the TD Waterhouse Fixed income desk Canadian Real Estate Split Corp is introducing the Prefs at 6.5%. The prospectus can be found on the TD new issue website, although it seems little help. Any insight?

  2. jiHymas says:

    I see the preliminary prospectus dated May 27 on SEDAR, but the yield has been dotted out. Where do you see “6.5%”?

  3. pugwash says:

    I stumbled aross the propspectus which appeared on TD’s new issues page yesterday and was intrigued, but as you say no yield, then called TD Securities – they told me it was 6.5% and they are accepting expressions of interest. It seems like a launch without trace.

  4. jiHymas says:

    I’ll reserve comment until the prospectus goes final.

  5. […] was last mentioned on PrefBlog when it was downgraded to Pfd-4 by DBRS. KSP.UN is not tracked by […]

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