By Abigail W. Adams
Portland, Me., Aug. 9 – NII Holdings, Inc. priced an upsized $100 million of five-year convertible notes prior to the market open on Thursday with a coupon of 4.25% and an initial conversion premium of 25%.
Pricing came at the cheap end of talk for a coupon of 3.75% to 4.25% and at the midpoint of talk for an initial conversion premium of 22.5% to 27.5%.
J.P. Morgan Securities LLC and BTIG, LLC are bookrunners for the Rule 144A deal, which carries an upsized greenshoe of $15 million.
The initial size of the deal had been for $75 million with a greenshoe of $11.25 million.
The notes are contingently convertible until Feb. 15, 2023.
The notes are non-callable and are puttable under certain corporate events.
Conversions will be settled in cash, shares or a combination of both at the company’s option.
Net proceeds are expected to be $95.4 million, or $109.8 million if the greenshoe is exercised in full.
Proceeds will be used for general corporate purposes including to fund the cash flow needs of Nextel Brazil, according to a company news release.
NII Holdings is a Reston, Va.-based provider of mobile communications services in Brazil.
| Issuer: | NII Holdings Inc.
|
| Securities: | Convertible senior notes
|
| Amount: | $100 million
|
| Greenshoe: | $15 million
|
| Maturity: | Aug. 15, 2023
|
| Bookrunners: | J.P. Morgan Securities LLC and BTIG, LLC
|
| Coupon: | 4.25%
|
| Price: | Par
|
| Conversion premium: | 25%
|
| Conversion price: | $6.21
|
| Conversion rate: | 160.9658
|
| Call options: | None
|
| Put options: | Upon certain corporate events
|
| Pricing date: | Aug. 9
|
| Settlement date: | Aug. 14
|
| Talk: | Coupon of 3.75% to 4.25% and an initial conversion premium of 22.5% to 27.5%
|
| Stock symbol: | Nasdaq: NIHD
|
| Stock price: | $4.97 at market close Aug. 8
|
| Market capitalization: | $499.34 million
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
