Nashville, Oct. 8 - Sirius Satellite Radio Inc. sold $200 million of seven-year non-callable convertible notes at par to yield 3.25% with a 32.8% initial conversion premium.
The overnight Rule 144A deal priced at the cheaper end of guidance for a yield of 3.25% and an initial conversion premium of 31.6% to 41.6%.
Morgan Stanley & Co. Inc. is sole bookrunner.
Holders will have dividend and takeover protection, but the specifics of those provisions were unknown.
The New York-based premium satellite radio provider also sold 25 million shares of common stock for roughly $100 million.
Sirius said proceeds would be used for general corporate purposes, including investments in programming, infrastructure and retail and automotive distribution arrangements.
| Issuer: | Sirius Satellite Radio Inc.
|
| Issue: | Convertible senior notes
|
| Bookrunner: | Morgan Stanley & Co. Inc.
|
| Amount: | $200 million
|
| Greenshoe: | $30 million
|
| Maturity: | Oct. 15, 2011
|
| Dividend: | 3.25%
|
| Price: | Par
|
| Yield: | 3.25%
|
| Conversion premium: | 32.8%
|
| Conversion price: | $5.312
|
| Conversion ratio: | 188.253
|
| Call: | Non-callable
|
| Put: | No
|
| Dividend protection: | Yes
|
| Takeover protection: | Yes
|
| Price talk: | 3.25%, up 31.6%-41.6%
|
| Pricing date: | Oct. 7, after the close
|
| Settlement date: | Oct. 15
|
| Distribution: | Rule 144A
|
|
|
© 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.
