By Sara Rosenberg
New York, June 20 - WMS Industries Inc. priced an upsized $100 million of convertible subordinated notes due 2010 to yield 2.75% with an initial conversion premium of 15%.
Although increased in size, the offering came at the cheap end of talk. Originally, the deal was sized at $75 million and was talked to yield 2.25% to 2.75% with an initial conversion premium of 15% to 20%.
CIBC is leading the Rule 144A deal, which priced after market close on Thursday.
The notes are non-callable and non-putable.
Proceeds will be used for working capital, capital expenditures and other general corporate purposes, which may include acquisitions and repurchases of shares of common stock.
WMS is a Waukegan, Ill. designer, manufacturer and marketer of video and mechanical reel-spinning gaming machines and video lottery terminal.
Terms of the new deal are:
| Issuer: | WMS Industries Inc.
|
| Issue: | Convertible subordinated notes
|
| Amount: | $100 million
|
| Greenshoe: | $15 million
|
| Lead manager: | CIBC
|
| Maturity date: | 2010
|
| Coupon: | 2.75%
|
| Issue price: | Par
|
| Yield: | | 2.75%
|
| Conversion premium: | 15%
|
| Conversion price: | $19.78
|
| Conversion ratio: | 50.556
|
| Call: | Non-callable
|
| Put: | Non-putable
|
| Pricing date: | June 19 after close
|
| Settlement date: | June 25
|
| Distribution: | Rule 144A
|
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