- American Finance Trust's FFO and AFFO are covering the dividends on the common shares again.
- That's good news for the preferred shares which are now yielding over 7% and rank senior to the common shares.
- Even in an "end of the world" wind-down scenario whereby AFIN has to sell its assets at a 40% discount to book value, preferred shareholders will be made whole.
- The preferred shares aren't callable before 2024, and in excess of $6.5 in dividends will hit the account before the prefs can be called.
For further details see:
American Finance Trust Preferreds: I'm Still Buying AFINP Around Its $25 Par Value For A 7%+ Yield