By Rebecca Melvin
New York, Oct. 29 - Green Plains Renewable Energy Inc. priced an upsized $75 million of five-year convertible senior notes at par to yield 5.75% with an initial conversion premium of 27.5%, according to a news release.
The Rule 144A deal, which has a $15 million greenshoe, was initially talked at $60 million in size with a $10 million greenshoe.
The deal came at the cheap end of talk for the coupon, which was 5.25% to 5.75%, and at the rich end of talk for the premium, which was 22.5% to 27.5%.
Jefferies & Co. and Credit Suisse Securities (USA) LLC were the joint bookrunners for the bonds, which are non-callable for three years and then provisionally callable subject to a price hurdle of 140% of the conversion price. There is a takeover put at par plus accrued interest.
Proceeds are for general corporate purposes. Green Plains may also use a portion of proceeds to acquire or invest in additional facilities, assets or technologies intended to further growth.
The company does not intend to use proceeds to fund its announced acquisition of Global Ethanol, LLC.
Omaha-based Green Plains is an ethanol producer.
| Issuer: | Green Plains Renewable Energy Inc.
|
| Issue: | Convertible senior notes
|
| Amount: | $75 million, upsized from $60 million
|
| Greenshoe: | $15 million, upsized from $10 million
|
| Maturity: | Nov. 1, 2015
|
| Bookrunners: | Jefferies & Co., Credit Suisse Securities (USA) LLC
|
| Coupon: | 5.75%
|
| Price: | Par
|
| Yield: | 5.75%
|
| Conversion premium: | 27.5%
|
| Conversion price: | $14.33
|
| Conversion ratio: | 69.7788
|
| Call option: | On Nov. 1, 2013, then provisionally callable subject to 140% price hurdle
|
| Takeover protection: | Yes
|
| Pricing date: | Oct. 28
|
| Settlement date: | Nov. 3
|
| Distribution: | Rule 144A
|
| Stock symbol: | Nasdaq: GPRE
|
| Stock reference price: | $11.24
|
| Market capitalization: | $339.7 million
|
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