Dividend Enhanced Convertible Stock

Dividend Enhanced Convertible Stock

Preferred stock entitling the holder to guaranteed dividends and to which are attached a put option and a call option. That is, if the stock declines in price the holder of DECS may sell it for the stated strike price. Likewise if the stock increases in price, he holder may exercise the call and buy more stock for a discount. DECS also have a convertible option allowing the holder to exchange the DECS for common stock.
References in periodicals archive ?
Columbia's $200,000,000 dividend enhanced convertible stock, a form of preferred stock ranking pari passu with the new preferred stock is also rated 'BBB-'.
s (Columbia) proposed fixed income securities as follows: 'BBB' for approximately $2,000,000,000 senior debt securities series A through G; 'BBB-' for $200,000,000 preferred stock; and 'BBB-' for $200,000,000 dividend enhanced convertible stock, a form of preferred stock ranking pari passu with the new preferred stock.
8 million of proceeds from the exercise of the underwriters' over-allotment option) from its recent issuance of Series P 9% Cumulative Convertible Preferred Stock, which was issued as a Dividend Enhanced Convertible Stock ("DECS").
The Series P 9% Cumulative Convertible Preferred Stock was issued as a Dividend Enhanced Convertible Stock ("DECS"), in the form of depositary shares, with each depositary share representing a one-hundredth interest in a share of the preferred stock.
June 1 /PRNewswire/ -- James River Corporation (NYSE: JR) announced today that it intends to offer $250 million of cumulative convertible preferred stock in the form of Dividend Enhanced Convertible Stock ("DECS"), which are subject to conversion into or redemption for shares of common stock of James River, $0.
has sold through underwriters $200 million of a convertible preferred stock in the form of a four-year security known as Dividend Enhanced Convertible Stock (DECS).