New Issue: American Piping prices $100 million 12 7/8% five-year notes at 98 to yield 13.436%

By Paul A. Harris

Portland, Ore., Nov. 20 - American Piping Products, Inc. priced a $100 million issue of 12 7/8% five-year senior secured notes (Caa1/B-/) at 98 to yield 13.436% on Tuesday, according to an informed source.

The coupon printed on top of coupon talk. The yield came in line with the 13¼% to 13½% yield talk. The reoffer price came in line with the 97.778 to 98.659 price talk.

Imperial Capital was the bookrunner.

Proceeds will be used to repay debt, to redeem preferred stock and founder's stock and to pay a dividend to common stock holders.

The issuer is a St. Louis-based distributor of specialty pipes, fittings and flanges.

Issuer:	American Piping Products, Inc.
Face amount:	$100 million
Proceeds:	$98 million
Maturity:	Nov. 15, 2017
Securities:	Senior secured notes
Bookrunner:	Imperial Capital LLC
Coupon:	12 7/8%
Price:	98
Yield:	13.436%
Call features:	Make-whole call at Treasuries plus 50 bps until Nov. 15, 2014, then callable at 109.656 until May 15, 2015, 106.438 until Nov. 15, 2015, 104.828 until May 15, 2016, 103.219 until Nov. 15, 2016, 101.609 until May 15, 2017, par thereafter
Equity clawback:	35% at 112.875 until Nov. 15, 2014
Trade date:	Nov. 20
Settlement date:	Nov. 27
Ratings:	Moody's: Caa1
	Standard & Poor's: B-
Distribution:	Rule 144A and Regulation S for life
Price talk:	12 7/8% coupon at 97.778 to 98.659 to yield 13¼% to 13½%
Marketing:	Roadshow

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