* Convertible issuance totals $10.95 billion in January
New York, Jan. 31 - Goldman Sachs & Co. was the top underwriter of convertible securities in January thanks almost entirely to a single huge deal, according to data compiled by Prospect News.
The firm brought to market $4.97 billion of convertibles in four deals although the vast majority of that figure - $4.5 billion of it - was the Ford Motor Co. convertible trust preferred deal, the biggest convertible offering ever.
The leading underwriter for all of last year, Merrill Lynch & Co., ranked fourth during January.
For the month, a total of $10.945 billion of convertibles were brought to market. Again the Ford deal greatly inflated that number, accounting for 41% of the total.
Issuance was close to double the comparable figure for 2001 when $5.70 billion of convertibles were brought to market. However the January 2001 figure was also affected by a single big deal, in this case $2.5 billion for Hutchison Whampoa Ltd., also underwritten by Goldman.
January's issuance means there is no slackening of pace from last year. The $10.945 billion sold in January 2002 is slightly higher than the $9.38 billion monthly average for all of 2001.
Out of the total, nine deals for $399 million were retail offerings by investment banks exchangeable into another company's stock.
2002
2001 Comparables
| Underwriter | Amount | No. | Rank | Amount | No.
|
| 1. | Goldman Sachs | 4,968.39 | 4 | 1 | 2,519.40 | 3
|
| 2. | Salomon SB | 1,686.06 | 6 | 2 | 1,511.25 | 4
|
| 3. | CS First Boston | 1,338.56 | 6 | - | - | -
|
| 4. | Merrill Lynch | 1,270.93 | 3 | 4 | 517.50 | 1
|
| 5. | UBS Warburg | 794.50 | 3 | 6 | 105.00 | 2
|
| 6. | Morgan Stanley | 639.78 | 4 | 7 | 25.00 | 1
|
| 7. | Banc of America | 100.00 | 1 | 5 | 431.25 | 1
|
| 8. | Lehman Brothers | 100.00 | 1 | 3 | 587.50 | 2
|
| 9. | ABN Amro | 47.00 | 1 | - | - | -
|
| Total | $10,945.23 | 24 | $5,696.90 | 12
|
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| Average size | $456.05 | $474.74
|
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| Prospect News Convertibles Underwriter Rankings
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Criteria
* The tables include all dollar-denominated offerings sold in the U.S. as public or Rule 144A deals reported to Prospect News.
* Offerings are included in the time period in which they settle.
* Amounts are based on the total sales price (face amount multiplied by the offering price). The full amount is credited to the bookrunner (or lead manager if no bookrunners). For multiple bookrunners (or lead managers), the total value is divided equally among all the firms.
* Each tranche is counted as a separate deal.
* Bonds are included that convert into the issuer's or another company's stock or the cash equivalent; bonds that convert into other bonds are excluded.
* Units made up of a bond and stock are included; units made up of a bond and warrants are excluded.
* Preferred issues are included using the same criteria as for bonds.
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