By Paul A. Harris
St. Louis, Aug. 11 - OPTI Canada Inc. priced a combined $400 million two-part offering of first-lien senior secured notes on Wednesday, according to an informed source.
The Calgary, Alta.-based oil sands developer raised $99.51 million with the sale of $100 million of notes mirroring its 9% first-lien senior secured notes due Dec. 15, 2012 (B2/B). The non-fungible mirror notes priced at 99.51 to yield 9.228%, in line with reoffer price talk of 99.5.
OPTI raised $289.5 million with its $300 million issue of 9¾% three-year notes (B3/B), which priced at 96.5 to yield 11.162%.
The coupon on the three-year notes came on top of coupon talk. The reoffer price came cheap to the 97 to 98 price talk. The 11.162% yield came wide of the 10½% to 11% yield talk.
Credit Suisse was the bookrunner.
The company will use the proceeds to repay the drawn balance on its credit facility and for general corporate purposes.
| Issuer: | OPTI Canada Inc.
|
| Face amount: | $400 million
|
| Proceeds: | $389.01 million
|
| Securities: | First-lien senior secured notes
|
| Bookrunner: | Credit Suisse
|
| Trade date: | Aug. 11
|
| Settlement date: | Aug. 20
|
| Distribution: | Rule 144A for life
|
|
|
| Add-on due 2012
|
| Face amount: | $100 million
|
| Proceeds: | $99.51 million
|
| Maturity: | Dec. 15, 2012
|
| Securities: | Notes mirroring the 9% first-lien senior secured notes due Dec. 15, 2012 (non-fungible)
|
| Coupon: | 9%
|
| Price: | 99.51
|
| Yield: | 9.228%
|
| Spread: | 869 bps
|
| Ratings: | Moody's: B2
|
| Standard & Poor's: B
|
| Price talk: | 99.50
|
|
|
| Three-year notes
|
| Face amount: | $300 million
|
| Proceeds: | $289.5 million
|
| Maturity: | Aug. 15, 2013
|
| Coupon: | 9¾%
|
| Price: | 96.5
|
| Yield: | 11.162%
|
| Spread: | 1,039 bps
|
| Ratings: | Moody's: B3
|
| Standard & Poor's: B
|
| Price talk: | 9¾% coupon at 97 to 98 to yield approximately 10½% to 11%
|
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