New Issue: Landry's sells upsized $425 million 9 3/8% eight-year notes at par

By Paul A. Harris

Portland, Ore., April 19 - Landry's, Inc. priced an upsized and restructured $425 million issue of eight-year senior notes (Caa1/CCC+/) at par to yield 9 3/8% on Thursday, according to a syndicate source.

The yield printed 12.5 basis points beneath the 9½% to 9¾% yield talk.

Call protection was decreased to three years from four years. The notes become callable on May 1, 2015 at par plus 75% of the coupon: 107.031.

Jefferies & Co. Inc. was the left bookrunner for the deal, which was upsized from $400 million. Citigroup Global Markets Inc. and Deutsche Bank Securities Inc. were the joint bookrunners.

The Houston-based full-service restaurant, hospitality and entertainment company plans to use the proceeds to refinance debt and fund a distribution to its parent.

Issuer:	Landry's, Inc.
Amount:	$425 million, increased from $400 million
Maturity:	May 1, 2020
Securities:	Senior notes
Left bookrunner:	Jefferies & Co. Inc.
Joint bookrunners:	Citigroup Global Markets Inc., Deutsche Bank Securities Inc.
Coupon:	9 3/8%
Price:	Par
Yield:	9 3/8%
Call features:	Make-whole call at Treasuries plus 50 bps until May 1, 2015, then callable at 107.031, 104.688, 102.344, par on and after May 1, 2018 (Call protection decreased from four years)
Equity clawback:	35% at 109.375 until May 1, 2015
Change-of-control put:	101%
Trade date:	April 19
Settlement date:	April 24
Ratings:	Moody's: Caa1
	Standard & Poor's: CCC+
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	9¼% to 9¾%

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