New Issue: ACCO upsizes to $460 million, prices 10 5/8% notes due March 2015 at 98.502 to yield 11%

By Paul A. Harris

St. Louis, Sept. 21 - ACCO Brands Corp. price an upsized $460 million issue of 10 5/8% senior secured notes (B2) due March 15, 2015 at 98.502 to yield 11% on Monday, according to market sources.

The yield printed at the tight end of the 11% to 11¼% price talk.

The issue was upsized from $425 million.

Credit Suisse Securities, Bank of America Merrill Lynch, Deutsche Bank Securities Inc. and BMO Nesbitt Burns are joint bookrunners for the Rule 144A and Regulation S offering.

Proceeds, along with proceeds from a new $175 million asset-based credit facility, will be used to repay all borrowings outstanding under the company's existing credit and securitization facilities.

The issuer is a Lincolnshire, Ill.-based provider of traditional and computer-related office products and supplies.

Issuer:	ACCO Brands Corp.
Face amount:	$460 million, increased from $425 million
Proceeds:	$453.1 million
Maturity:	March 15, 2015
Security description:	Senior secured notes
Bookrunners:	Credit Suisse Securities, Bank of America Merrill Lynch, Deutsche Bank Securities Inc., BMO Nesbitt Burns
Coupon:	10 5/8%
Price:	98.502
Yield:	11%
Spread:	838 bps
Call features:	Callable on Sept. 15, 2012 at 105.313, 102.657, par on and after Sept. 15, 2014
Equity clawback:	35% at 110.625 until Sept. 15, 2012
Trade date:	Sept. 21
Settlement date:	Sept. 30
Rating:	Moody's: B2
Distribution:	Rule 144A/Regulation S
Price talk:	11% to 11¼%

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