From 3D Planners:
We have recently been notified that Woolworths will be issuing a retail “hybrid” preference shares much like those many of you have in the Commonwealth bank or the ANZ. These type of hybrid shares pay a fixed rate of interest and do not fluctuate in value very much.
While details are still sketchy until they officially launch this next week, the likely margin above bank bills should be similar as the bank hybrids, with aÂ range of 3.00-3.50% p.a. (i.e. total yield of approximately 7.70% p.a. or above).
Due to the strength of the brand, stabilityÂ and balance sheet, we encourage youÂ to partake in this offer once we get a confirmation of our firm allocation. YouÂ may already be a Woolworths shareholders, and if so,Â you willÂ receive a booklet to encourage to participate through their forms. However, with the large oversubscription expected, you are unlikely to get anywhere near your allocation. So please disregard these as weÂ will notify you soon of the amount we think is suitable for your portfolio (if eligible) over the coming few weeks.
For those of you with 3D Planners, we will bid enough so that you canÂ have an appropriate allocation for your portfolio. Please let us know if you have any questions in the meantime.