By Paul A. Harris
St. Louis, April 16 - Atlantic Express Transportation Corp. sold $155 million of units comprised of four-year senior secured notes (B3/B) with warrants to purchase common shares of stock in the company.
The transaction came in two tranches.
The company sold $105 million of fixed-rate notes at par to yield 12%. Price talk was 12% with warrants.
Atlantic Express Transportation also sold $10 million of floating-rate notes, which priced at par with a coupon that will float at six-month Libor plus 920 basis points.
Jefferies & Co. ran the books on the Rule 144A transaction.
Proceeds will be used to repay debt associated with the company's bankruptcy reorganization and for general corporate purposes.
The issuer is a Staten Island, N.Y.-based school bus operator.
| Issuer: | Atlantic Express Transportation Corp.
|
| Amount: | $115 million
|
| Maturity: | April 15, 2008
|
| Security description: | Units comprised of senior secured notes with warrants to purchase common shares
|
| Bookrunner: | Jefferies & Co.
|
| Call features: | Callable after April 15, 2006 at 106, after April 15, 2007 at 103, par
|
| Equity clawback: | Until April 15, 2006 for 35% at 112.0
|
| Pricing date: | April 16
|
| Settlement date: | April 22
|
| Ratings: | Moody's: B3
|
| Standard & Poor's: B
|
|
|
| Fixed-rate tranche
|
| Amount: | $105 million
|
| Coupon: | 12%
|
| Price: | Par
|
| Yield: | 12%
|
| Price talk: | 12% with warrants
|
|
|
| Floating-rate tranche
|
| Amount: | $10 million
|
| Coupon: | Six-month Libor plus 920 basis points
|
| Price: | Par
|
| Yield: | Six-month Libor plus 920 basis points
|
|
|
© 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.
