By Abigail W. Adams
Portland, Me., July 2 – Semiconductor Manufacturing International Corp. placed a $200 million add-on to its perpetual 2% convertible securities at par on Monday, according to a term sheet.
The add-on will form a single unit with the $65 million outstanding of the company’s 2% perpetual convertible securities, which priced on Dec. 14, 2017.
The Regulation S notes were sold to Datang Telecom Technology & Industry Holdings Co., Ltd., which had a pre-emptive right to subscribe to the new securities.
J.P. Morgan Securities LLC, Deutsche Bank and Barclays Capital Inc. were bookrunners for the initial $65 million offering.
Holders may convert the securities on or after Jan. 23, 2018. The securities are callable upon a triggering event or from Dec. 14, 2020 on subject to a 130% hurdle. Holders may require the company to repurchase the securities on a triggering event.
The perpetual convertible securities will be listed for trade on the Singapore Exchange Securities Trading Ltd.
Net proceeds are expected to be $199.9 million and will be used for capital expenditures for capacity expansion and general corporate purposes.
Semiconductor Manufacturing International is a Shanghai, China-based semiconductor foundry.
| Issuer: | Semiconductor Manufacturing International Corp.
|
| Securities: | Subordinated convertible securities
|
| Amount: | $200 million
|
| Maturity: | Perpetual
|
| Coupon: | 2%
|
| Price: | Par
|
| Conversion price: | HK$12.78
|
| Call options: | From Dec. 14, 2020 at par subject to 130% hurdle
|
| Pricing date: | July 2
|
| Stock symbol: | NYSE: SMI, HK: 981
|
| Stock price: | HK$10.20 at market close July 2
|
| Market capitalization: | HK$50.31 billion
|
|
|
|
|
© 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.
