New Issue: Anixter sells $125 million (proceeds) convert to yield 3.25%, up 26%

By Ronda Fears

Nashville, June 30 - Anixter International Inc. sold $125 million in proceed of 30-year convertibles at 38.015 to yield 3.25% with a 26% initial conversion premium, via lead manager Merrill Lynch, in the overnight Rule 144A market.

The Rule 144A deal sold at the middle of yield talk and the cheap end of premium guidance.

Anixter expects to use the proceeds of the offering to fund possible repurchases of outstanding debt and stock, including the repurchase of up to $17 million of its stock simultaneous with the offering, and for general corporate purposes.

Terms of the new deal are:

Issuer: Anixter International Inc.

Issue:	Rule 144A convertible senior notes
Lead manager:		Merrill Lynch
Amount	$125 million (proceeds), $328 million (face)
Greenshoe:	$18.75 million (proceeds), $49.3 million (face)
Maturity:	July 15, 2033
Coupon:	0%
Price:	38.015
Yield:	3.25%
Conversion premium:	26%
Conversion price:	$29.5218
Conversion ratio:	12.8773
Call:	noncallable for 8 years
Put:	in years 4, 6, 8, 10, 15, 20 and 25
Contingent conversion:	120%
Contingent payment:	120%
Price Talk:	3.0-3.5%, up 26-31%
Rating(s):	S&P: BB+
Pricing Date:	June 30, after the close
Settlement:	July 7

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