Echo Global jumps in active trade on debut; salesforce.com in line; LinkedIn adds on swap

By Rebecca Melvin

New York, April 30 – Echo Global Logistics Inc.’s newly priced 2.5% convertible bonds gained on an outright basis and added on swap Thursday on their debut in secondary market trading. The issuer priced an upsized $200 million of the five-year senior notes through the rich end of price talk.

The new notes jumped to 104 out of the gate and then pulled back to 102 by late morning as shares of the Akron, Ohio, plastics and resins supplier came off, a New York-based trader said. Later the shares pulled back even farther amid a general down draft in equities.

Echo was the single most actively traded name in the convertibles space on Thursday.

Also in the primary market, CalAmp Corp., an Oxnard, Calif.-based developer and marketer of wireless communications products, was expected to price $125 million of five-year convertible senior notes after the market close.

Back in established issues, salesforce.com Inc.’s convertibles continued to trade in step with shares of the San Francisco-based cloud computing company after a pop Wednesday amid chatter about a potential sale of the large cloud company.

The salesforce.com 0.25% convertibles due 2018 traded at 124.7 early Thursday with shares around $71.80.

Investors eyed LinkedIn Corp.’s convertibles ahead of the Mountain View, Calif.-based social media company’s quarterly earnings report posted after the market close.

The bonds gained on swap as shares tanked in after-hours action in response to the disappointing outlook for earnings and revenue.

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