Replies to post #6340 on NGL Energy Partners LP (NGL)

[pete807]

Preferred A's cost $25 a share...
Did they become 1 for 1 with commons? The would not be good for their holders.
It would not make them appear to be valuable now, ...dividend was 9%, .56 at A label, $25 status... big hit then to .39 and $14 common.

They must have given them a formula conversion per price on conversion date. Remember that by nature at common they are no longer ahead in terms of order of coverage risk, which is why people chose them over the commons.

If it were me I would sell them liking other preferreds better, if I used the same logic as when I bought.

[pete807]

Did you look at the SEC filing when the Preferred A's were first issued, and see the formula for conversion and timing of same?

I think it is not worry for us but I would like an update on the float...

Here is Trey's opinion:

These financing transactions have addressed our near term debt maturities and increased our liquidity, with a focus on continuing to maintain our strong credit metrics and on improving our cost of capital

thanks
-pete