New Issue: Alaris Medical downsizes to $175 million, eight-year notes yield 7¼%

By Paul A. Harris

St. Louis, June 25 - Alaris Medical Inc. priced a downsized offering of $175 million senior subordinated notes due July 1, 2011 (B3/B-) at par Wednesday to yield 7¼%, according to a syndicate source.

Price talk was for a yield in the 7½% area. The deal was reduced from $200 million.

Bear Stearns & Co., Citigroup and UBS Investment Bank were joint bookrunners on the off-the-shelf deal. CIBC World Markets and Jefferies & Co. were co-managers.

Proceeds will be used to repurchase existing debt and for general corporate purposes.

The San Diego company develops solutions for medication safety.

Issuer:	Alaris Medical Inc.
Amount:	$175 million (decreased from $200 million)
Maturity:	July 1, 2011
Security description:	Senior subordinated notes
Bookrunners:	Bear Stearns, Citigroup, UBS Investment Bank
Co-managers:	CIBC World Markets, Jefferies & Co.
Coupon:	7¼%
Price:	Par
Yield:	7¼%
Call features:	Callable on July 1, 2007 at 103.625, then at 101.813, declining to par on July 1, 2009 and thereafter
Equity clawback:	Until July 1, 2006 for 35% at 107.25
Settlement date:	June 30, 2003
Ratings:	Moody's: B3
	Standard & Poor's: B-
Price talk:	7½% area

© 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.