Penson 8% five-year convertibles lifted to $60 million via greenshoe

By Angela McDaniels

Tacoma, Wash., June 5 - Penson Worldwide, Inc. said the underwriters of its convertible senior unsecured notes due June 1, 2014 exercised their $10 million over-allotment option in full on Wednesday, raising the size of the issue to $60 million.

The company priced $50 million of the convertibles on May 28 after the market closed at the midpoint of price talk to yield 8% with an initial conversion premium of 15%. The conversion price is $9.18.

J.P. Morgan Securities Inc. and Morgan Keegan & Co. Inc. were the underwriters for the Rule 144A offering.

The notes are non-callable and may not be put.

The proceeds will be used to pay down some of the company's existing $70 million of corporate debt, to provide working capital and for other general corporate purposes.

Penson is a Dallas-based securities clearing firm.

© 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.