By Rebecca Melvin
New York, May 30 - Concur Technologies Inc. priced an upsized $425 million of five-year convertible senior notes late Wednesday at par to yield 0.5% with an initial conversion premium of 32.5%, according to a news release.
The Rule 144A deal was initially talked at $350 million in size. There is a $63.75 million greenshoe that was upsized from an initially talked $52.5 million.
Pricing came at the tight, or rich, end of talk, which was for a 0.5% to 1% coupon and a 27.5% to 32.5% premium.
Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and Deutsche Bank Securities Inc. were the joint bookrunners.
The notes are non-callable. They have net share settlement and contingent conversion at a 130% price hurdle, as well as takeover protection and standard dividend protection.
Proceeds will be used for general corporate purposes, including potential acquisitions and strategic transactions, and to pay the net cost of a call spread.
In connection with the notes offering, Concur entered into convertible note hedge and warrant transactions.
Redmond, Wash.-based Concur provides integrated travel and expense management services for companies.
| Issuer: | Concur Technologies Inc.
|
| Issue: | Convertible senior notes
|
| Amount: | $425 million, upsized from $350 million
|
| Greenshoe: | $63.75 million, upsized from $52.5 million
|
| Maturity: | June 15, 2018
|
| Bookrunners: | Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC, Deutsche Bank Securities Inc.
|
| Coupon: | 0.5%
|
| Price: | Par
|
| Yield: | 0.5%
|
| Conversion premium: | 32.5%
|
| Conversion price: | $104.85
|
| Conversion ratio: | 9.5377 shares
|
| Calls: | Non-callable
|
| Puts: | No puts
|
| Takeover protection: | Yes
|
| Call spread: | Yes
|
| Price talk: | 0.5%-1%, up 27.5%-32.5%
|
| Pricing date: | May 29
|
| Settlement date: | June 4
|
| Stock symbol: | Nasdaq: CNQR
|
| Stock reference price: | $79.13
|
| Distribution: | Rule 144A
|
| Market capitalization: | $4.47 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.
