Texas Industries holders convert $59.9 million preference securities; company calls remainder

By Angela McDaniels

Seattle, Feb. 23 - Texas Industries, Inc. said that holders of TXI Capital Trust I's 5.5% shared preference redeemable securities due 2028 converted about $59.9 million liquidation amount of the securities into 1,167,731 shares of Texas Industries' common stock before redemption on Feb. 22.

The company called $60 million liquidation amount of the $159.7 million liquidation amount of securities outstanding for redemption on Jan. 23 and redeemed roughly $0.9 million liquidation amount of the securities on Feb. 22.

TXI will redeem the $98.9 million liquidation amount of the securities that remain outstanding on March 26, according to a company news release.

The redemption price per security is $50.6494, which is equal to the $50.00 liquidation amount per security plus accrued and unpaid distributions to the redemption date.

Each of the securities is convertible into 0.97468 share of Texas Industries common stock, which is equal to a conversion price of $48.734, until 5 p.m. ET on March 23.

Texas Industries' stock (NYSE: TXI) closed at $80.61 on Feb. 23.

Because March 23 is prior to the next record date for distributions on the securities, accrued distributions on any converted securities will not be paid.

Texas Industries is a cement producer based in Dallas.

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