By Paul A. Harris
Portland, Ore., May 8 - Brunswick Corp. priced $150 million eight-year senior notes (Ba3/BB/) at par to yield 4 5/8% on Wednesday, according to a market source.
The yield printed at the tight end of yield talk that was set in the 4¾% area.
Timing was moved ahead; the deal, which was announced on Wednesday morning, had been expected to remain in the market until Friday.
J.P. Morgan Securities LLC and BofA Merrill Lynch were the joint bookrunners.
The Lake Forest, Ill.-based maker of recreation products plans to use the proceeds, along with cash on hand, to redeem its 11¼% senior secured notes due 2016.
| Issuer: | Brunswick Corp.
|
| Amount: | $150 million
|
| Maturity: | May 15, 2021
|
| Securities: | Senior notes
|
| Bookrunners: | J.P. Morgan Securities LLC, BofA Merrill Lynch
|
| Co-managers: | Morgan Stanley & Co. LLC, RBC Capital Markets, U.S. Bancorp Investments Inc.
|
| Coupon: | 4 5/8%
|
| Price: | Par
|
| Yield: | 4 5/8%
|
| Spread: | 324 bps
|
| First call: | May 15, 2016 at 103.469
|
| Equivalent clawback: | 35% at 104.625 until May 15, 2016
|
| Change-of-control put: | 101%
|
| Trade date: | May 8
|
| Settlement date: | May 13
|
| Ratings: | Moody's: Ba3
|
| Standard & Poor's: BB
|
| Distribution: | Rule 144A and Regulation S for life
|
| Price talk: | 4¾% area
|
| Marketing: | Quick to market (timing was moved ahead, as the deal was originally scheduled to be in the market until May 10)
|
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