Midday Commentary: Market quiet; Prestige Brands unmoved despite Insight acquisition news

By Paul Deckelman

New York, April 25 - The high-yield bond market was quiet on Friday morning, market sources reported.

A trader said that he saw "so far, just crickets on that front."

There was no immediate activity in Prestige Brands Inc.'s 8 1/8% notes due 2020, despite the announcement that the Tarrytown, N.Y.-based distributor of brand name over-the-counter medicinal and household cleaning products has agreed to acquire Insight Pharmaceuticals Corp., a marketer and distributor of feminine care and other over-the-counter healthcare products, for $750 million in cash.

The 8 1/8% notes had closed at just over 112 bid on Thursday.

The news caused Prestige Brands' New York Stock Exchange-traded shares, on the other hand, to jump by $3.86, or 14.13%, to $31.17 as of 10:45 a.m. ET, on volume of 322,000 shares, a little under the average 410,000-share daily turnover.

Elsewhere in the junk market, Numericable Group AG's new 6¼% senior secured first-lien notes due 2024 had eased to 101¾ bid from Thursday's closing level around 102 1/8. However, volume was light.

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