By Kenneth Lim
Boston, May 12 - Amkor Technology Inc. priced an upsized $190 million of five-year convertible senior subordinated notes within talk at a coupon of 2.5% and an initial conversion premium of 30%.
Price talk was for a coupon of 2.375% to 2.875% and an initial conversion premium of 27.5% to 32.5%. The size of the deal was originally set at $150 million without a greenshoe. There is now an over-allotment option for a further $28.5 million.
The convertibles were offered at par, and the conversion price is $14.59 per share.
The deal was offered concurrently with an upsized $400 million of 10-year, 9.25% senior notes. The straight-bond offering was originally a $300 million deal.
Citigroup Global Markets is the bookrunner for the registered off-the-shelf convertible deal and the senior note offering.
The convertibles will be non-callable for life.
They also have dividend and takeover protection.
Amkor, a Chandler, Ariz.-based semiconductor test and assembly service provider, will use the proceeds from the convertible offering to redeem, repurchase or retire part of its outstanding 10.5% senior subordinated notes due 2009.
| Issuer: | Amkor Technology Inc.
|
| Issue: | Convertible senior subordinated notes
|
| Bookrunner: | Citigroup Global Markets
|
| Amount: | $190 million
|
| Greenshoe: | $28.5 million
|
| Maturity: | May 15, 2011
|
| Coupon: | 2.5%
|
| Price: | Par
|
| Yield: | 2.5%
|
| Conversion premium: | 30%
|
| Conversion price: | $14.59
|
| Conversion ratio: | 68.5589
|
| Dividend protection: | Yes
|
| Takeover protection: | Yes
|
| Call protection: | Non-callable for life
|
| Price talk: | 2.375%-2.875%, up 27.5%-32.5%
|
| Pricing date: | May 11
|
| Settlement date: | May 26
|
| Distribution: | Registered
|
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