Midday Commentary: New TAL Education adds outright, doesn't expand; Banc of California units quiet

By Rebecca Melvin

New York, May 16 - TAL Education Group's newly priced 2.5% convertibles traded higher on an outright basis in the early going Friday after the Beijing-based provider of after-school tutoring services priced $200 million of the five-year notes at the midpoint of talk, according to market sources.

The TAL 2.5% convertibles were quoted at 103 bid, 104 offered versus an underlying share price of $21.80, according to a Connecticut-based trader.

The bonds priced at par, but "they didn't really expand," the trader said.

TAL Education shares gained early Friday and were last seen up $1.48, or 7%, at $21.70.

Banc of California Inc. also priced an offering of tangible equity units. The deal was upsized to $60 million from $50 million, but the 8% tangible equity units were still not heard in the aftermarket, a New York-based trader said.

Elsewhere, it was quiet, the trader said of early action in the convertibles market.

© 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.