By Paul A. Harris
St. Louis, June 16 - Bowater Inc. sold an upsized, restructured issue of $400 million of 6½% senior notes due June 15, 2013 (Ba1/BB+) at 99.610 on Monday to yield 6.554%, according to a syndicate source.
The deal was increased from $350 million.
UBS Warburg and JP Morgan were joint bookrunners. The co-managers were Scotia Capital, BMO Nesbitt Burns, Wachovia Securities, SunTrust Robinson Humphrey, BNY, TD Securities and Banc of America Securities.
The deal was reportedly launched as a two-tranche offering of five and 10-year bullets.
Proceeds will be used to repay debt.
The Greenville, S.C.-based company produces newsprint, coated and uncoated groundwood papers, market pulp, lumber and timber.
| Issuer: | Bowater Inc.
|
| Amount: | $400 million (increased from $350 million)
|
| Maturity: | June 15, 2013
|
| Security description: | Senior notes
|
| Bookrunners: | UBS Warburg, JP Morgan (joint)
|
| Coupon: | 6½%
|
| Price: | 99.610
|
| Yield: | 6.554%
|
| Spread: | 337.5 basis points
|
| Call: | Make-whole call at Treasuries plus 45 basis points
|
| Settlement date: | June 19, 2003
|
| Ratings: | Moody's: Ba1
|
| Standard & Poor's: BB+
|
| Rule 144A Cusip: | 102183AJ9
|
|
|
© 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.
