Affymetrix's $105 million seven-year convertibles see revised talk of 3.75%-4% coupon, up 25%

By Rebecca Melvin

New York, June 19 - Price talk on Affymetrix Inc.'s planned $105 million of seven-year convertible senior notes was revised during marketing Tuesday to 3.75% to 4% for the coupon and 25% for the initial conversion premium, according to a syndicate source.

Initially the registered deal, which was expected to price after the market close Tuesday, was talked at a lower 3.25% to 3.75% coupon and higher premium range of 27.5% to 32.5%.

As previously reported, the offering has a $10 million greenshoe and was being sold via bookrunners Citigroup Global Markets Inc. and Morgan Stanley & Co. LLC.

The notes will be non-callable until July 1, 2017 and will be provisionally callable thereafter at a price hurdle of 130%.

Proceeds are expected to be used to fund a portion of the purchase price for the company's pending acquisition of eBioscience Holding Co. Inc. If the acquisition is not completed, the company can call the notes by Nov. 12, 2012.

Affymetrix is a Santa Clara, Calif.-based provider of technology used by pharmaceutical, diagnostic and biotechnology companies, as well as by academic, government and nonprofit research organizations.

eBioscience is a San Diego, Calif.-based immunology and oncology research and diagnostics company.

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