Belden greenshoe exercise increases convertibles to $517.5 million

By Angela McDaniels

Tacoma, Wash., July 26 – The underwriters of Belden Inc.’s 6.75% series B mandatory convertible preferred stock exercised their $67.5 million over-allotment option in full on Friday, increasing the size of the deal to $517.5 million, according to a Tuesday 8-K filing with the Securities and Exchange Commission.

As previously reported, the company priced $450 million of the convertibles ahead of the market open on Thursday to yield 6.75% with an initial conversion premium of 10%.

The registered, off-the-shelf deal priced at the cheap end of talked terms, which was for a 6.25% to 6.75% dividend and a 10% to 15% initial conversion premium.

The deal was sold via joint bookrunning managers J.P. Morgan Securities LLC, Guggenheim Securities LLC, Deutsche Bank Securities Inc. and Goldman Sachs & Co.

The convertibles have dividend and takeover protection. They are mandatorily convertible on July 15, 2019.

Proceeds will be used for general corporate purposes, including investments in or extensions of credit to subsidiaries or financing possible acquisitions, capital expenditures or business expansion.

St. Louis-based Belden designs, makes and markets signal transmission products for data networking.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.