New Issue: MagnaChip prices $225 million 6 5/8% notes at 99.5 to yield 6.707%

By Paul A. Harris

Portland, Ore., July 15 - South Korea-based MagnaChip Semiconductor Corp. priced a $225 million issue of 6 5/8% eight-year senior notes (B1/BB-) at 99.5 to yield 6.707% on Monday, according to an informed source.

The yield priced slightly below the midpoint of yield talk that was set in the 6¾% area.

Barclays and Morgan Stanley & Co. were the joint bookrunners.

The Seoul, South Korea-based designer and manufacturer of analog and mixed-signal semiconductor applications plans to use the proceed to repay all of its outstanding 10 ½% senior notes due in 2018.

Issuer:	MagnaChip Semiconductor Corp.
Amount:	$225 million
Maturities:	July 15, 2021
Securities:	Senior notes
Bookrunners:	Barclays, Morgan Stanley & Co.
Coupon:	6 5/8%
Price:	99.5
Yield:	6.707%
Spread:	448 bps
First call:	Make-whole call at Treasuries plus 50 bps until July 15, 2017, then callable at 103.313
Equity clawback:	35% at 106.625 until July 15, 2016
Investor put:	101% upon change of control
Trade date:	July 15
Settlement date:	July 18
Ratings:	Moody's: B1
	Standard & Poor's: BB-
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	6¾% area
Marketing:	Quick to market

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