AGCO to exchange $201.23 million of 1.75% convertibles

New York, May 30 - AGCO Corp. said it received tenders of $201.23 million principal amount of its $201.25 million of 1.75% convertible senior subordinated notes due 2033 under its exchange offer for the securities. All tendered notes will be accepted.

The exchange ended at midnight ET on June 29.

As announced on May 26, the Duluth, Ga.-based manufacturer of agricultural equipment was offering new notes that have net share settlement and takeover protection. Under the net share settlement provision, the company will pay any conversions in cash up to the principal amount and stock for the remainder.

The takeover protection will increase the conversion rate if the notes are exchanged for stock under a change of control occurring before Dec. 10, 2010.

Otherwise, terms are the same as the existing notes, AGCO said.

It added that it is carrying out the offer in response to new accounting rules for contingent convertible securities.

No exchange fee will be paid.

Morgan Stanley & Co. Inc. is dealer manager. Morrow & Co., Inc. is the information agent.

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