The filing confirms a full retirement of Series I preferred stock. Annaly will redeem all 17.7 million outstanding shares at $25.00 per share on October 1, 2026, implying a $442.5 million cash outlay. The company says all dividends through September 30 will have been paid, so holders receive no additional accrued dividend at redemption.
| Item | Filing detail |
|---|---|
| Series I shares redeemed | 17.7 million |
| Redemption price | $25.00 per share |
| Implied redemption cost | $442.5 million |
| Coupon | 6.750% fixed-to-floating |
| Redemption date | October 1, 2026 |
This is not a clean surprise to the market. Annaly had previously disclosed authorization to repurchase up to 17.7 million Series I shares, so the ability to retire the issue was already known; the new information is that management is now exercising that option in full.
The common-equity read is two-sided rather than decisively favorable. Retiring a 6.75% preferred issue can simplify the capital structure and eliminate an expensive preferred funding layer, but it also consumes roughly $442.5 million of cash and the filing does not announce a replacement financing source, incremental common-stock benefit, or broader capital-allocation change. Against expectations, this is best treated as a partly telegraphed balance-sheet action—not an earnings beat or a new operating catalyst.
The next hard event is the October 1 redemption. The filing provides no new earnings outlook, operating results, or guidance change; significance therefore rests on the completion of the redemption and the subsequent effect on cash, preferred dividends, and capitalization.
Read the original 8-K on SEC EDGAR ↗