By Paul A. Harris
St. Louis, Jan. 25 - Dana Holding Corp. priced an upsized $750 million of senior notes (B3/BB-) in two tranches on Tuesday, according to an informed source.
The Toledo, Ohio-based automotive components and systems company priced a $400 million tranche of notes at par to yield 6½%. The yield printed at the tight end of the 6 5/8% area price talk.
Dana also priced a $350 million tranche of 10-year notes at par to yield 6¾%. The yield on the 10-year notes also came at the tight end of the 6 7/8% area price talk.
The total size was increased from $700 million.
Citigroup Global Markets Inc., Wells Fargo Securities LLC, Bank of America Merrill Lynch, Barclays Capital Inc., ING Financial Markets LLC, Deutsche Bank Securities Inc. and UBS Securities LLC were the joint bookrunners for the quick-to-market issue.
The company plans to use the proceeds to repay its term loan facility.
| Issuer: | Dana Holding Corp.
|
| Amount: | $750 million (increased from $700 million)
|
| Securities: | Senior notes
|
| Bookrunners: | Citigroup Global Markets Inc., Wells Fargo Securities LLC, Bank of America Merrill Lynch, Barclays Capital Inc., ING Financial Markets LLC, Deutsche Bank Securities Inc., UBS Securities LLC
|
| Ratings: | Moody's: B3
|
| Standard & Poor's: BB-
|
| Distribution: | SEC registered
|
| Marketing: | Quick to market
|
|
|
| Eight-year notes
|
| Amount: | $400 million
|
| Maturity: | Feb. 15, 2019
|
| Coupon: | 6½%
|
| Price: | Par
|
| Yield: | 6½%
|
| Call protection: | Make-whole call at Treasuries plus 50 bps until Feb. 15, 2015, then callable at a premium; up to 10% of the notes may be called annually at 103 during the non-call period
|
| Change of control: | 101% put
|
| Price talk: | 6 5/8% area
|
|
|
| 10-year notes
|
| Amount: | $350 million
|
| Maturity: | Feb. 15, 2021
|
| Coupon: | 6¾%
|
| Price: | Par
|
| Yield: | 6¾%
|
| Call protection: | Make-whole call at Treasuries plus 50 bps until Feb. 15, 2016, then callable at a premium; up to 10% of the notes may be called annually at 103 during the non-call period
|
| Change of control: | 101% put
|
| Price talk: | 6 7/8% area
|
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