By Rebecca Melvin
New York, Nov. 20 - ORIX Corp. said it priced ¥150 billion of 5.5-year convertible bonds with stock acquisition rights pursuant to approval Thursday by its representative executive officers, according to a news release.
The bonds, with a face value of ¥1 million, carry a coupon of 1%, and the initial conversion price will be determined by the representative executive officer as an amount equal to 1.20-1.25 times the closing price of the company's stock after regular trading on the Tokyo Stock Exchange on the date of conversion price determination.
The bonds will be issued only in bearer form with interest coupons, and registered bonds shall not be issued. The bonds will mature March 31, 2014.
Administrators of the bonds are the Bank of Tokyo-Mitsubishi UFJ, Ltd. (principal administrator), the Sumitomo Trust & Banking Co., Ltd and Mitsubishi UFJ Trust and Banking Corp.
Net proceeds are estimated to be ¥146 billion, of which. ¥80 billion will be applied toward redemption of bonds and commercial paper, with the remaining to be applied to repayment of short-term debt.
The series three unsecured convertible bonds with stock acquisition rights will be used to add to long-term funding to strengthen the company's financial foundation, the release said.
Tokyo-based ORIX is a financial services group.
Issuer: | ORIX Corp.
|
Issue: | Convertible bonds
|
Amount: | ¥150 billion
|
Maturity: | March 31, 2014
|
Administrators: | Bank of Tokyo-Mitsubishi UFJ, Ltd. (principal administrator), Sumitomo Trust & Banking Co., Ltd., Mitsubishi UFJ Trust and Banking Corp.
|
Coupon: | 1%
|
Price: | Par of ¥1 million
|
Yield: | 1%
|
Conversion premium: | 1.20-1.25 times stock closing price on the date of conversion price determination
|
© 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.