New Issue: Concord Communications upsized $75 million convertible yields 3%, up 30%

Nashville, Dec. 3 - Concord Communications Inc. sold an upsized $75 million of 20-year convertible notes at par to yield 3% with a 30% initial conversion premium via sole bookrunner Bear Stearns & Co. Inc.

The Rule 144A deal, upped from $65 million, priced at the tight end of price talk of 3.0% to 3.5%, up 25% to 30%.

Holders will have full dividend protection.

The Marlboro, Mass.-based firm said proceeds would be used for working capital, general corporate purposes and potential acquisitions.

Terms of the deal are:

Issuer:	Concord Communications Inc.
Issue:	Convertible senior notes
Bookrunner:	Bear Stearns & Co. Inc.
Amount:	$75 million, upped from $65 million
Greenshoe:	$11.25 million, upped from $10 million
Maturity:	Dec. 15, 2023
Coupon:	3.0%
Price:	Par
Yield:	3.0%
Conversion premium:	30%
Conversion price:	$26.87
Conversion ratio:	37.2148
Contingent conversion:	120%
Call:	Non-callable for 5 years
Put:	In years 5, 10 and 15
Price talk:	3.0-3.5%, up 25-30%
Pricing date:	Dec. 2
Settlement date:	Dec. 8
Distribution:	Rule 144A

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