By Paul A. Harris
St. Louis, March 17 - M/I Homes Inc. priced a downsized and restructured $150 million issue of seven-year senior notes (Ba2/BB) at 99.314 with a 6 7/8% coupon to yield 7%, according to a market source.
Price talk was in the 6¾% area.
The issue was downsized from $200 million. Meanwhile the tenor of the notes was decreased to seven years from 10 years.
Citigroup and JP Morgan were joint bookrunners for the Rule 144A/Regulation S offering.
Proceeds will be used to repay bank debt.
M/I Homes is a Columbus, Ohio, single-family home builder with operations in Columbus and Cincinnati, Ohio; Indianapolis, Ind.; Tampa, Orlando and West Palm Beach, Fla.; Charlotte and Raleigh, N.C.; and the Virginia and Maryland suburbs of Washington, D.C.
| Issuer: | M/I Homes Inc.
|
| Amount: | $150 million (decreased from $200 million)
|
| Maturity: | April 1, 2012 (tenor decreased to seven years from 10 years)
|
| Security description: | Senior notes
|
| Bookrunners: | Citigroup, JP Morgan
|
| Coupon: | 6 7/8%
|
| Price: | 99.314
|
| Yield: | 7%
|
| Spread: | 272 basis points
|
| Call protection: | Make-whole call at Treasuries plus 50 basis points
|
| Equity clawback: | Until April 1, 2008 for 35% at 106.875
|
| Trade date: | March 17
|
| Settlement date: | March 24
|
| Ratings: | Moody's: Ba2
|
| Standard & Poor's: BB
|
| Price talk: | 6¾% area
|
|
|
© 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.
