Gaylord stock price triggers conversion option on 3.75% notes

By Marisa Wong

Madison, Wis., July 2 - Gaylord Entertainment Co. said its 3.75% convertible senior notes due Oct. 1, 2014 are now convertible through Sept. 28.

The notes became convertible because the closing share price of the company's stock exceeded 120% of the conversion price for at least 20 trading days out of the 30-consecutive-trading-day period ended June 30.

The notes are convertible at a rate of 36.6972 common shares per $1,000 principal amount of notes, which is equal to a conversion price of $27.25 per share.

The company will pay cash or deliver shares for notes converted by Sept. 28.

The notes were issued in September 2009. Currently, there is about $360 million principal amount of notes outstanding.

If all of the outstanding notes were to be converted, the total number of common shares issued would be about 13.2 million.

Gaylord is a Nashville hospitality and entertainment company.

© 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.