By Paul A. Harris
St. Louis, April 6 - Hughes Network Systems LLC priced an upsized $450 million issue of eight-year senior notes (B1/B-) at par on Thursday to yield 9½%, according to a market source.
The yield came at the tight end of the 9½% to 9¾% price talk.
Bear Stearns & Co. and Morgan Stanley were joint bookrunners for the Rule 144A offering. Banc of America Securities LLC was the co-manager.
Proceeds will be used to refinance existing debt and for general corporate purposes.
The issue was upsized from $375 million.
The prospective issuer is a provider of broadband satellite networks and services, with headquarters in Germantown, Md.
| Issuer: | Hughes Network Systems LLC
|
| Amount: | $450 million (increased from $375 million)
|
| Maturity: | April 15, 2014
|
| Security description: | Senior notes
|
| Bookrunners: | Bear Stearns & Co., Morgan Stanley
|
| Co-manager: | Banc of America Securities LLC
|
| Coupon: | 9½%
|
| Price: | Par
|
| Yield: | 9½%
|
| Spread: | 462 bps
|
| Call protection: | Four years
|
| Equity clawback: | Three years for 35%
|
| Trade date: | April 6
|
| Settlement date: | April 13
|
| Ratings: | Moody's: B1
|
| Standard & Poor's: B-
|
| Distribution: | Rule 144A
|
| Price talk: | 9½%-9¾%
|
|
|
© 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.
