By Sheri Kasprzak
Atlanta, Oct. 14 - Amcon Distributing Co. sold $2 million in series B convertible preferred stock, the company said Thursday.
The 80,000 shares were sold to Spencer Street Investments Inc. at $25 per share through agent Slusser Associates Inc. The preferreds have a conversion price of $24.65.
If not previously converted, the series B stock is redeemable after Oct. 9, 2006 at 112% of the $25 liquidation preference, the premium declining by 1% each year until Oct. 8, 2018.
Amcon is an Omaha, Neb.-based grocery distributor and plans to use the proceeds from the sale for repayment of $6.75 million in subordinated debt from its acquisition of Health Food Associates Inc.
| Issuer: | Amcon Distributing Co.
|
| Issue: | Series B convertible preferred stock
|
| Amount: | $2 million
|
| Maturity: | Perpetual
|
| Coupon: | 6.37%
|
| Price: | Par of $25
|
| Yield: | 6.37%
|
| Conversion premium: | 19.08%
|
| Conversion price: | $24.65
|
| Call: | Oct. 9, 2006 at 112, declining to par on Oct. 8, 2018
|
| Warrants: | No
|
| Placement agent: | Slusser Associates Inc.
|
| Investors: | Spencer Street Investments
|
| Pricing date: | Oct. 8
|
| Stock price: | $20.70 at close Oct. 8
|
|
|
© 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.
