By Devika Patel
Knoxville, Tenn., Aug. 3 - YRC Worldwide Inc. sold the final $20.2 million of its unsecured convertible notes as part of a $70 million private placement on Aug. 3, according to an 8-K filed Tuesday with the Securities and Exchange Commission. The deal priced Feb. 11 and the company raised $49.8 million on Feb. 23.
The four-year notes bear 6% interest and are convertible into common stock at an initial conversion price of $0.43. The conversion price represents a 35.82% discount to the Feb. 10 closing share price of $0.67.
Proceeds will be used to satisfy the company's remaining 2010 note obligations, with any excess proceeds available for general corporate purposes.
YRC is an Overland Park, Kan.-based provider of transportation services for the shipment of industrial, commercial and retail goods.
| Issuer: | YRC Worldwide Inc.
|
| Issue: | Unsecured convertible notes
|
| Amount: | $70 million
|
| Maturity: | Four years
|
| Coupon: | 6%
|
| Price: | Par
|
| Yield: | 6%
|
| Conversion price: | $0.43
|
| Warrants: | No
|
| Pricing date: | Feb. 11
|
| Settlement date: | Feb. 23 (for $49.8 million), Aug. 3 (for $20.2 million)
|
| Stock symbol: | Nasdaq: YRCW
|
| Stock price: | $0.67 at close Feb. 10
|
| Market capitalization: | $346.47 million
|
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