Princeton, N.J., June 15 - Invitrogen Corp. sold $325 million of 20-year senior convertible notes, $25 million more than originally expected, to yield 3.25% with a 27.5% initial conversion premium.
The securities priced at the cheap end of talk, which had put the yield at 2.75% to 3.25% and the conversion premium at 27.5% to 32.5%.
Bookrunners for the Rule 144A deal were UBS Investment Bank and Banc of America.
There is a $25 million greenshoe available.
Invitrogen plans to use proceeds to repay $124 million borrowed under a revolving line of credit with Bank of America NA. The balance of proceeds will be used for potential acquisitions and general corporate purposes, including debt repayment.
Based in Carlsbad, Calif., Invitrogen is a biotechnology company.
Terms of the deal are:
| Issuer: | Invitrogen Corp.
|
| Issue: | Senior convertible notes
|
| Bookrunner: | UBS Investment Bank and Banc of America Securities
|
| Amount: | $325 million
|
| Greenshoe: | $25 million
|
| Maturity: | June 15, 2025
|
| Coupon: | 3.25%
|
| Price: | Par
|
| Yield: | 3.25%
|
| Conversion premium: | 27.5%
|
| Conversion price: | $98.25
|
| Conversion ratio: | 10.1780
|
| Contingent conversion: | 125%
|
| Contingent payment: | 120%
|
| Net share settlement: | Cash to 125% of conversion price, stock for remainder
|
| Dividend protection: | Yes
|
| Takeover protection: | Yes
|
| Call: | Non-callable for six years
|
| Put: | In years six, 10 and 15
|
| Price talk: | 2.75-3.25%, up 27.50-32.50%
|
| Pricing date: | June 14, after the close
|
| Settlement date: | June 20
|
| Distribution: | Rule 144A
|
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