By Rebecca Melvin
New York, Dec. 22 - Beacon Power Corp. priced $10 million of units including convertible preferred stock, with a par of $1,000, to yield 8%, plus warrants.
Each unit consists of one share of the series B convertible preferred stock plus a warrant to purchase an additional 0.5 of a share of the preferred stock and a warrant to purchase 4,458.27 shares of common stock.
The preferred warrants will expire when the initially priced preferreds mature on Feb. 1, 2012.
The common stock warrants will have an exercise price of $0.25234 and will expire Dec. 23, 2015.
If there has been no conversion, there will be monthly principal payments of 1,154 shares of preferred stock each month, beginning Feb. 1, 2011.
Payments can be made in cash or stock at the company's option.
Proceeds, which may rise to $15 million if the preferred warrants are exercised, will be used for general corporate purposes, including working capital requirements.
The registered, off-the-shelf offering was sold via bookrunner Lazard Capital Markets LLC.
Tyngsboro, Mass.-based Beacon Power makes frequency-regulation products for use in the operation of electricity grids.
| Issuer: | Beacon Power Corp.
|
| Issue: | Units, including mandatory preferred stock and warrants
|
| Amount: | $10 million
|
| Bookrunner: | Lazard Capital Markets LLC
|
| Distribution: | Registered, off the shelf
|
| Stock symbol: | Nasdaq: BCON
|
| Stock reference price: | $0.26
|
| Market capitalization: | $41.86 million
|
|
|
| Preferreds
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| Maturity: | Feb. 1, 2012
|
| Dividend: | 8%
|
| Price: | Par, $1,000
|
| Yield: | 8%
|
| Conversion price: | $0.25234 per share
|
| Conversion ratio: | 4,458.27 shares
|
| Pricing date: | Dec. 22
|
| Settlement date: | Dec. 23
|
|
|
| Common stock warrants
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| Strike price: | $0.25234
|
| Expiration: | Dec. 23, 2015
|
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