Electroglas says beneficial conversion feature triggered

New York, March 28 - Electroglas, Inc. said the beneficial conversion feature on its 5.25% convertible subordinated notes due 2007 was triggered on Feb. 21.

As a result, the conversion price was lowered to $10.2465 per share from $13.662, the San Jose, Calif. company said in a filing with the Securities and Exchange Commission. The change will result in an additional 866,150 shares being issuable on conversion.

The beneficial conversion feature comes in to play if 115% of the average market price of the company's common stock for 20 consecutive trading days prior to Feb. 21, 2003 is less than the conversion price.

Electroglas originally issued $35.5 million of the convertibles in June 2002.

© 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.