JPMorgan top U.S. market convertibles underwriter for year to date

• Goldman Sachs top U.S. market convertibles underwriter for February

• U.S. convertibles issuance totals $3.51 billion for year to date

• February U.S. convertibles issuance totals $1.06 billion

By Rebecca Melvin

New York, Feb. 28 - J.P. Morgan Securities LLC remained top underwriter of convertible bonds for the year to date, holding on to its post from full-year 2010 and the month of January; but Goldman Sachs jumped to the No. 1 slot in the league tables for February's U.S. convertibles issuance.

For the year so far, JPMorgan has underwritten $1.27 billion of new issuance in six deals, accounting for 36% of total volume.

Citigroup is the No. 2 underwriter with $633 million of new issuance under in four deals, accounting for 18% of the total. Goldman Sachs took third place with $381 million in three deals, accounting for 11%, and Morgan Stanley underwrote $322 million in three deals for 9.5% of the total, according to data compiled by Prospect News.

That $381 million of new issuance underwritten by Goldman Sachs was all placed in February and accounted for 36% of the month's $1.06 billion total.

Citigroup was the No. 2 convertibles underwriter for February, with $237 million of new issuance in three deals, accounting for 22.5% of the total, and JPMorgan took the third position with just $119 million in new issuance in two deals, accounting for 11% of the total.

For the year to date, Morgan Stanley, Bank of America, Deutsche Bank and Wells Fargo round out the rest of the top seven slots, while Barclays, RBC and Credit Suisse made up the remainder of the top 10 positions.

Total U.S. convertibles issuance for the year to date was $3.51 billion in 14 deals, which is better compared to 2010's comparable year-to-date period when $2.86 billion in new issuance in 10 deals priced.

Among February's deals, Unisys Corp.'s $225 million of 6.25% convertible mandatory preferreds was brought by Goldman and Citigroup; Goldman also brought Prospect Capital Corp.'s $150 million of 5.5% seven-year convertible senior notes single handedly; while it was a joint bookrunner for MF Global Holdings Ltd.'s $250 million of five-year convertible senior notes.

Meanwhile, JPMorgan and Morgan Stanley were joint bookrunners of Molycorp Inc.'s upsized $180 million of three-year mandatory preferred shares, and JPMorgan also helped bring Hovnanian Enterprises Inc.'s T-DEC tangible equity unites, along with Citigroup and Credit Suisse.

Bank of America's was the sole bookrunner of its sole deal, which was Jaguar Mining Inc.'s five-year convertible senior notes for $103.5 million.

Year to date, U.S. market

2010 Comparables

	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	JPMorgan	1.256	6	35.79%	4	0.374	4	13.07%
2	Citigroup	0.633	4	18.04%	7	0.086	2	3.02%
3	Goldman Sachs	0.381	3	10.85%
4	Morgan Stanley	0.332	3	9.47%	10	0.045	1	1.57%
5	Bank of America	0.247	2	7.04%	2	0.690	3	24.13%
6	Deutsche Bank	0.240	2	6.83%	9	0.045	1	1.57%
7	Wells Fargo	0.144	1	4.10%
8	Barclays	0.100	1	2.85%	8	0.050	1	1.75%
9	RBC	0.099	1	2.81%
10	Credit Suisse	0.029	1	0.82%	3	0.564	3	19.71%
	Total	3.510	14	2.860	10
	Average size:	0.251	0.286
Year to date, global
					2010 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	JPMorgan	1.495	8	14.01%	2	1.122	9	14.06%
2	Morgan Stanley	1.309	5	12.27%	1	1.225	4	15.35%
3	Citigroup	0.821	5	7.69%	9	0.211	3	2.65%
4	Goldman Sachs	0.568	4	5.33%
5	Deutsche Bank	0.423	3	3.96%	17	0.097	2	1.21%
6	Barclays	0.380	2	3.56%	15	0.112	2	1.40%
7	Bank of America	0.247	2	2.32%	5	0.690	3	8.65%
8	RBC	0.245	4	2.30%
9	Standard Chartered	0.183	1	1.72%	10	0.200	1	2.51%
10	BNP	0.163	2	1.53%	20	0.089	1	1.12%
	Total	10.666	33	7.980	32
	Average size:	0.323	0.249
February, U.S. market
					2010 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	Goldman Sachs	0.381	3	36.11%
2	Citigroup	0.237	3	22.48%
3	JPMorgan	0.119	2	11.26%	2	0.259	2	25.62%
4	Bank of America	0.103	1	9.81%
5	Deutsche Bank	0.096	1	9.09%
6	Morgan Stanley	0.090	1	8.53%
7	Credit Suisse	0.029	1	2.73%	1	0.490	1	48.53%
	Total	1.055	6	1.010	4
	Average size:	0.176	0.252
Prospect News Convertibles Underwriter Rankings

Criteria

• The tables include all underwritten dollar-denominated offerings sold in the United States as public or Rule 144A deals reported to Prospect News (for U.S. deals), or all underwritten offerings (global deals).

• Offerings are included in the time period in which they price.

• 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.

• Structured products 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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