Interpool starts postponed rights offering of $27.4 million convertibles

New York, Nov. 26 - Interpool, Inc. said it has begun its previously postponed rights offering for up to $27,361,250 of 9.25% convertible redeemable subordinated debentures.

The convertibles are being offered to holders of Interpool's common stock as of the close of business on Nov. 25. The offer expires at 5.00 p.m. ET on Dec. 20 unless extended.

If the offering is not fully subscribed Interpool may offer the securities to other investors.

The Princeton, N.J. transportation equipment company said it reserves the right to increase the offering to $37,758,500.

Stockholders will have the right to buy the securities at $25. They will be able to buy one convertible per 25 shares of common stock.

The convertibles will carry a 9.25% coupon payable monthly and will convert at the greater of $25 and 135% of the average price of Interpool's common stock for five trading days. They will be callable at par from three years onwards and mature after 20 years.

Proceeds will be used for general corporate purposes.

Interpool said it has structured the rights offering to minimize the likelihood of short selling.

The subscription agent is American Stock Transfer & Trust Co. and the information agent is the Altman Group, Inc. at (800 206-0007).

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