By Abigail W. Adams
Portland, Me., March 23 – Macom Technology Solutions Holdings Inc. priced $400 million of five-year convertible notes after the market close on Monday at par with a coupon of 0.25% and an initial conversion premium of 40%, according to a company news release.
Pricing came at the cheap end of talk for a coupon of 0% to 0.25% and at the midpoint of talk for an initial conversion premium of 37.5% to 42.5%, according to a market source.
Barclays was the bookrunner for the Rule 144A offering, which carries a greenshoe of $60 million.
The notes are non-callable until March 20, 2024 and then subject to a 130% hurdle.
They are putable upon a fundamental change.
The notes will be settled in cash, shares or a combination of both.
Net proceeds will be used for the partial repayment of outstanding term loans and for general corporate purposes.
Macom Technology is a Lowell, Mass.-based semiconductor company.
| Issuer: | Macom Technology Solutions Holdings Inc.
|
| Securities: | Convertible senior notes
|
| Amount: | $400 million
|
| Greenshoe: | $60 million
|
| Maturity: | March 15, 2026
|
| Bookrunner: | Barclays
|
| Coupon: | 0.25%
|
| Price: | Par
|
| Yield: | 0.25%
|
| Conversion premium: | 40%
|
| Conversion price: | $82.12
|
| Conversion rate: | 12.1767
|
| Call options: | Non-callable until March 20, 2024 and then subject to a 130% hurdle
|
| Put options: | Upon a fundamental change
|
| Pricing date: | March 22
|
| Settlement date: | March 25
|
| Distribution: | Rule 144A
|
| Talk: | Coupon of 0% to 0.25% and initial conversion premium of 37.5% to 42.5%
|
| Stock symbol: | Nasdaq: MTSI
|
| Stock price: | $58.66 at market close March 22
|
| Market capitalization: | $4.08 billion
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
