New Issue: PanAmSat $1.01 billion 10-year notes yield 9%

By Paul A. Harris

St. Louis, July 30 - PanAmSat Corp. sold $1.01 billion of 10-year senior notes (B1/B+) Friday at par to yield 9%, according to a syndicate source.

Revised price talk was in the 9% area, having widened from the 8¼% to 8½% range, according to a market source.

Credit Suisse First Boston and Citigroup ran the books for the Rule 144A offering. Bear Stearns, Lehman Brothers, BNP Paribas, Clayton Securities, Greenwich Capital Markets, ING, Scotia Capital, ABN Amro, BNY Capital Markets and SG Americas Securities were co-managers.

The Wilton, Conn.-based satellite communications company will use the proceeds to fund the tender offers for two existing series of bonds as part of the sale of PanAmSat to affiliates of Kohlberg Kravis Roberts & Co., The Carlyle Group and Providence Equity Partners Inc.

Issuer:	PanAmSat Corp.
Amount:	$1.01 billion
Maturity:	Aug. 15, 2014
Security description:	Senior notes
Bookrunners:	Credit Suisse First Boston, Citigroup
Coupon:	9%
Price:	Par
Yield:	9%
Spread:	451 basis points
Call features:	Callable after Aug. 15, 2009 at 104.50, 103.0, 101.50, par on or after Aug. 15, 2012
Equity clawback:	Until Aug. 15, 2007 for 35% at 109.0
Pricing date:	July 30
Settlement date:	Aug. 20
Ratings:	Moody's: B1
	Standard & Poor's: B+
Price talk:	9% area (increased from 8¼%-8½%)

© 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.