Nashville, April 1 - Internet Capital Group Inc. said Thursday it sold $60 million of 5% five-year senior convertible notes in a private placement.
The notes are convertible at a conversion price of $0.4554 per share, or 120% of the weighted average stock price for the five trading days immediately prior to execution of the sale.
Internet Capital shares closed Thursday down 2 cents, or 5%, to 38 cents.
Closing is expected in May or June as the transaction hinges on stockholder approval at the company's April 23 annual meeting, regarding a reverse stock split under consideration in order to maintain its stock listing on Nasdaq.
After redeeming the 5.5% convertibles, Internet Capital said it would use remaining proceeds for general working capital purposes and acquisitions.
In a Securities and Exchange Commission filing, buyers for the new notes were listed. Some of the bigger purchases, $1 million or larger, were made by: Mason Capital Ltd., $8.62 million; Bear Stearns Securities Corp. as custodian for the Jeffrey Thorp IRA rollover account, $7 million; Cohanzick Credit Opportunities Fund Ltd., $3.4 million; Cohanzick High Yield Partners LP, $2.5 million; Gabriel Capital LP, $3.9 million; Guggenheim Portfolio Co. X LLC, $1.3 million; JMB Capital Partners LP, $5 million; JMG Capital Partners LP, $2.5 million; JMG Triton Offshore Fund Ltd., $2.5 million; Langley Partners LP, $3 million; Manchester Securities Corp., $3.5 million; Mason Capital LP, $5 million; Northwood Capital Partners LP, $1 million; Portside Growth & Opportunity Fund, $3.5 million; Scoggin Capital Management LP II, $1 million; Scoggin International Fund Ltd., $1 million; Topaz Partners LP, $5 million.
Terms of the deal are:
| Issuer: | Internet Capital Group Inc.
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| Issue: | Convertible senior notes
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| Amount: | $60 million
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| Maturity: | April 2009
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| Coupon: | 6%
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| Conversion price: | $0.4554
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| Announcement date: | April 1
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| Settlement date: | May or June
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| Distribution: | Private placement
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