By Paul A. Harris
Portland, Ore., April 20 - CDW priced a massively upsized $450 million add-on to its 8½% senior notes due April 1, 2019 (Caa1/CCC+/) at par to yield 8½% on Wednesday, according to a market source.
J.P. Morgan Securities LLC ran the books for the quick-to-market deal, which was upsized from $150 million.
The company plans to use the proceeds to fund the tender offers for its 11% notes due 2015 and its 11½% PIK toggle notes due 2015.
CDW is a Vernon Hills, Ill.-based provider of technology products and services to business, government and education customers.
The original $725 million issue was priced on March 29. That deal was upsized from the $440 million amount that the company had announced earlier on Tuesday. However, the size of the issue was ultimately downsized from the $1.065 billion amount that the company postponed on March 15 due to market conditions.
| Issuer: | CDW Escrow Corp.
|
| Amount: | $450 million, increased from $150 million
|
| Maturity: | April 1, 2019
|
| Security description: | Add-on to 8½% senior notes
|
| Bookrunner: | J.P. Morgan Securities LLC
|
| Coupon: | 8½%
|
| Price: | Par
|
| Yield: | 8½%
|
| Spread: | 549 bps
|
| Call protection: | Callable after April 1, 2015
|
| Trade date: | April 20
|
| Ratings: | Moody's: Caa1
|
| Standard & Poor's: CCC+
|
| Distribution: | Rule 144A and Regulation S with registration rights
|
| Original issue: | $725 million (upsized from $440 million) price at par on March 29, 2011
|
| Total issue size: | $1.175 billion
|
© 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.
