DRS Technologies talks $575 million two-part note offering

By Paul A. Harris

St. Louis, Jan. 19 - DRS Technologies Inc. issued price talk on its $575 million two-part offering of high-yield notes on Thursday, according to an informed source.

The company talked a $325 million tranche of 10-year senior notes (B2/B+) at the 6¾% area. Meanwhile DRS talked its $250 million tranche of 12-year senior subordinated notes (B3/B) at the 7¾% area.

Bear Stearns & Co. has the books for the registered deal. Wachovia Securities is the joint lead manager. Merrill Lynch, Banc of America Securities LLC, CIBC World Markets, Jefferies and Ryan Beck & Co. are the co-managers.

Both tranches of notes come with five years of call protection.

Proceeds will be used to help fund the acquisition of Engineered Support Systems Inc., a St. Louis-based diversified supplier of integrated military electronics, support equipment and technical services.

DRS Technologies is Parsippany, N.J.-based provider of technology products and services to defense, government intelligence and commercial customers.

© 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.