New Issue: Metals USA sells $150 million Libor plus 600 bps floating-rate toggle notes at 96.50

By Paul A. Harris

St. Louis, Dec. 19 - Metals USA Holdings Corp. priced a $150 million issue of Libor plus 600 basis points five-year senior floating-rate toggle notes (Caa1/CCC+) at 96.50 on Tuesday, according to an informed source.

The coupon and issue price came on top of price talk.

Goldman Sachs & Co. and Credit Suisse were joint bookrunners for the Rule 144A with registration rights and Regulation S transaction.

The deal generated $144.75 million of proceeds, which will be used to fund a dividend to equity holders.

Metals USA is a Houston metals production and fabrication company.

Issuer:	Metals USA Holdings Corp.
Face amount:	$150 million
Proceeds:	$144.75 million
Maturity:	Jan. 15, 2012
Security description:	Senior floating-rate toggle notes
Bookrunners:	Goldman Sachs & Co., Credit Suisse
Coupon:	Three-month Libor plus 600 bps
PIK premium:	75 bps
Step-ups:	25 bps for each interest period beginning on or after the first anniversary date of issuance and prior to the second anniversary, and 50 bps for each interest period beginning on or after the second anniversary of the date of issuance
Price:	96.50
Call features:	Callable on Dec. 22, 2006 at par, on Dec. 22, 2007 at 102, 101, par on and after Dec. 22, 2009
Trade date:	Dec. 19
Settlement date:	Dec. 22
Ratings:	Moody's: Caa1
	Standard & Poor's: CCC+
Distribution:	Rule 144A with registration rights/Regulation S
Price talk:	Libor plus 600 bps at 96.50

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