By Rebecca Melvin
New York, Jan. 21 - Asia Cement Corp. priced US$375 million of overseas bonds exchangeable into shares of Far Eastern New Century Corp. with a 0% coupon and a 30% initial conversion premium, according to a news release.
The Taipei, Taiwan-based cement producer's bonds, with a US$200,000 face, will be convertible into Far Eastern shares at a conversion price of NT$63.51.
Far Eastern is a textile company.
The bonds are non-callable for three years and then are provisionally callable at par subject to a closing share price of at least 130% of the conversion price for 30 consecutive trading days. Holders can put the bonds after year three.
Proceeds will be used for repaying bank borrowings and purchasing raw materials.
| Issue: | Asia Cement Corp.
|
| Issue: | Overseas unsecured exchangeable bonds
|
| Exchangeable entity: | Far Eastern New Century Corp.
|
| Amount: | US$375 million
|
| Coupon: | 0%
|
| Price: | Par, US$200,000
|
| Yield: | 0%
|
| Initial conversion premium: | 30%
|
| Conversion price: | NT$63.51 (Exchange rate $1 = NT$29.032)
|
| Call: | After three years subject to 130% hurdle
|
| Put: | After year three
|
| Pricing date: | Jan. 20
|
| Settlement date: | Jan. 27
|
| Stock symbol: | Taiwan: 1402
|
| Reference price: | NT$48.85
|
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