SCHEDULE: Braemar Hotels: Virtus InfraCap Discloses 15.74% Preferred Stock Stake

Virtus InfraCap U.S. Preferred Stock ETF, part of a filing group, reported a 15.74% beneficial ownership in Braemar Hotels & Resorts Inc.'s 5.50% Series B Cumulative Convertible Preferred Stock.

Summary

• An Amendment No. 8 to Schedule 13G was filed by a group including Infrastructure Capital Advisors, LLC, Virtus InfraCap U.S. Preferred Stock ETF, Jay Hatfield, and InfraCap Equity Income Fund ETF.
• The filing pertains to Braemar Hotels & Resorts Inc.'s 5.50% Series B Cumulative Convertible Preferred Stock (CUSIP 10482B200).
• Virtus InfraCap U.S. Preferred Stock ETF beneficially owns 484,515 shares, representing 15.74% of the class.
• Infrastructure Capital Advisors, LLC, Jay Hatfield, and InfraCap Equity Income Fund ETF each reported 0.0% beneficial ownership.
• The securities were acquired and are held in the ordinary course of business and not for the purpose of changing or influencing the control of the issuer.

Sentiment

Score: 5

Explanation: The filing is a routine disclosure of beneficial ownership and does not contain information that would significantly alter the company's fundamental outlook. The continued significant institutional ownership of preferred stock is a neutral to slightly positive signal for preferred shareholders.

Positives

• A significant institutional investor, Virtus InfraCap U.S. Preferred Stock ETF, maintains a 15.74% beneficial ownership stake in Braemar Hotels & Resorts Inc.'s preferred stock, indicating continued institutional interest and potential liquidity for the preferred shares.

Industry Context

This filing is a routine disclosure of beneficial ownership by an investment fund in a hotel REIT's preferred stock. It reflects an investment strategy focused on preferred securities, common among certain ETFs and investment advisors, and provides transparency into the ownership structure of this specific class of securities.

Stakeholder Impact

• Shareholders (specifically preferred shareholders): Disclosure of a significant institutional holder (15.74%) provides transparency regarding the ownership structure of the 5.50% Series B Cumulative Convertible Preferred Stock.

Key Dates

Keywords

Braemar Hotels & Resorts Inc., Preferred Stock, Schedule 13G, Beneficial Ownership, Virtus InfraCap, Infrastructure Capital Advisors, Convertible Preferred Stock, Hotel REIT, SEC Filing