New Issue: Stackpole prices $22.5 million tap of its 7¾% notes due 2021 at 103.25 to yield 7.048%

By Paul A. Harris

Portland, Ore., Jan. 16 - Stackpole International Intermediate Co. priced a $22.5 million add-on to its 7¾% senior secured first-lien notes due Oct. 15, 2021 (B2/B+) at 103.25 to yield 7.048% on Monday, according to a market source.

Nomura Securities International, Inc., Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, UBS Securities LLC and FBR Capital Markets & Co. were the joint bookrunners.

The Ancaster, Ont.-based manufacturer of oil pumps and powder metal components plans to use the proceeds for general corporate purposes.

Issuer:	Stackpole International Intermediate Co.
Face amount:	$22.5 million
Proceeds:	$23.23 million
Maturity:	Oct. 15, 2021
Security description:	Add-on to senior secured first-lien notes
Bookrunners:	Nomura Securities International, Inc., Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, UBS Securities LLC and FBR Capital Markets & Co.
Coupon:	7¾%
Price:	103.25
Yield to worst:	7.048%
Call features:	Make-whole call at Treasuries plus 50 basis points until Oct. 15, 2016, then callable at 105.813, 103.875, 101.938, par on and after Oct. 15, 2019
Equity clawback:	35% at 107.75 until Oct. 15, 2016
Trade date:	Jan. 13
Settlement date:	Jan. 16 with accrued interest
Ratings:	Moody's: B2
	Standard & Poor's: B+
Distribution:	Rule 144A and Regulation S for life
Original issue:	$360 million priced at par on Oct. 1, 2013
Fungibility:	Add-on notes will be immediately fungible with the existing notes
Total issue size:	$382.5 million

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