By Rebecca Melvin
New York, Jan. 17 - Dry bulk shipper Golden Ocean Group Ltd. priced $200 million of five-year convertible bonds on Friday at par to yield 3.07% with a 32.5% initial conversion premium, a syndicate source said.
Pricing of the Regulation S deal was at the midpoint of 2.75% to 3.375% coupon talk and 30% to 35% premium talk. A $25 million greenshoe was exercised simultaneously with pricing of the $175 million base deal.
The conversion price of the bonds in U.S. dollars was set at $2.86. The reference stock price was NOK 13.3214, or $2.16, based on an exchange rate of NOK 6.1612.
ABG Sundal Collier Norge ASA and BNP Paribas were joint bookrunners of the offering.
Proceeds will be used to grow the issuer with a focus on acquiring sailing vessels or vessels that are due for delivery within a short time, to partly finance existing newbuilds and for general corporate purposes.
The bonds are non-callable.
Settlement is expected Jan. 30.
Incorporated in Hamilton, Bermuda, Golden Ocean is a dry bulk shipping company.
| Issuer: | Golden Ocean Group Ltd.
|
| Issue: | Convertible bonds
|
| Amount: | $200 million, including exercised $25 million greenshoe
|
| Maturity: | Jan. 30, 2019
|
| Bookrunners: | ABG Sundal Collier Norge ASA and BNP Paribas
|
| Coupon: | 3.07%
|
| Price: | Par
|
| Yield: | 3.07%
|
| Conversion premium: | 32.5%
|
| Conversion price: | $2.86
|
| Calls: | Non-callable
|
| Price talk: | 2.75%-3.375%, up 30%-35%
|
| Distribution: | Regulation S
|
| Trade date: | Jan. 17
|
| Settlement date: | Jan. 30
|
| Stock reference price: | NOK 13.3214 (or $2.16, based on NOK 6.1612 exchange rate)
|
| Stock symbol: | Norway: GOGL
|
| Market capitalization: | NOK 5.95 billion
|
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