New Issue: Radiation Therapy upsizes to $350 million, prices 8 7/8% notes at 99.527 to yield 9%

By Paul A. Harris

Portland, Ore., April 26 - Radiation Therapy Services, Inc. priced an upsized $350 million issue of 8 7/8% senior secured second lien notes due Jan. 15, 2017 (B1/B+) at 99.527 to yield 9% on Thursday, according to a syndicate source.

The yield printed at the wide end of the 8¾% to 9% yield talk. The amount was increased from the original $335 million.

Wells Fargo Securities LLC was the left bookrunner. Morgan Stanley & Co. LLC, SunTrust Robinson Humphrey Inc. and Barclays Capital Inc. were the joint bookrunners.

The Fort Myers, Fla.-based provider of radiation therapy services plans to use the proceeds to repay debt and for general corporate purposes.

Issuer:	Radiation Therapy Services, Inc.
Securities:	Senior secured second lien notes
Amount:	$350 million, increased from $335 million
Proceeds:	$347.4 million
Maturity:	Jan. 15, 2017
Left bookrunner:	Wells Fargo Securities LLC,
Joint bookrunners:	Morgan Stanley & Co. LLC, SunTrust Robinson Humphrey Inc., Barclays Capital Inc.
Co-manager:	Imperial Capital, LLC
Coupon:	8 7/8%
Price:	99.527
Yield:	9%
Spread:	817 bps
Call features:	Make-whole call at Treasuries plus 50 bps until May 15, 2014, then callable at 104.438, 102.219, declining to par on and after May 15, 2016
Equity clawback:	35% at 108.875 until May 15, 2014
Trade date:	April 26
Settlement date:	May 10
Ratings:	Moody's: B1
	Standard & Poor's: B+
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	8¾% to 9%
Marketing:	Roadshow

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