UCBH to price $135 million perpetual convertible preferreds at 7.5%-8%, up 20%-25%

By Rebecca Melvin

New York, June 4 - UCBH Holdings Inc. plans to price $135 million, or 135,000 shares, of non-cumulative perpetual convertible preferred stock, talked with a dividend of 7.5% to 8% and with an initial conversion premium of 20% to 25%, according to a syndicate source.

The deal was pricing possibly Thursday after the close.

There is a $20.25 million greenshoe.

Merrill Lynch & Co. is the bookrunner.

The offering will be made under UCBH's automatic shelf registration statement filed with the Securities and Exchange Commission on Wednesday.

The preferreds have five-year hard call protection and are provisionally callable thereafter subject to a 130% price hurdle.

UCBH expects to use the net proceeds from this offering for general corporate purposes.

San Francisco-based UCBH Holdings is the holding company for United Commercial Bank, a state-chartered commercial bank serving Chinese communities and American companies doing business in China.

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