New Issue: Rambus sells $300 million convertible to yield 0%, up 45%

Nashville, Jan. 27 - Rambus Inc. sold $300 million of five-year non-callable convertible senior unsecured notes at par to yield 0% with a 45% initial conversion premium via bookrunner Credit Suisse First Boston.

The Rule 144A deal priced at the cheap end of guidance for a 45% to 52% initial conversion premium.

The Los Altos, Calif.-based memory chipmaker said it would use $75 million of proceeds to buy back stock and the remainder for general corporate purposes.

Terms of the deal are:

Issuer:	Rambus Inc.
Issue:	Convertible notes
Bookrunner:	Credit Suisse First Boston
Amount:	$300 million
Greenshoe:	$60 million
Maturity:	Feb. 1, 2010
Coupon:	0%
Price:	Par
Yield:	0%
Conversion premium:	45%
Conversion price:	$26.84
Conversion ratio:	37.2578
Contingent conversion:	No
Contingent payment:	No
Dividend protection:	Yes
Takeover protection:	Yes
Call:	Non-callable
Price talk:	0%, up 45-52%
Pricing date:	Jan. 26, after the close
Settlement date:	Feb. 1
Distribution:	Rule 144A

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