By Rebecca Melvin
New York, Feb. 23 - Superior Plus Corp. priced C$150 million of seven-year convertible debentures on a bought-deal basis at par to yield 5.75% with an initial conversion premium of 36%, according to a news release.
There is an over-allotment option for an additional C$22.5 million of debentures.
The issue was made via a syndicate of underwriters led by TD Securities Inc. and CIBC, and including Scotia Capital, National Bank Financial Inc., BMO Capital Markets and Cormark Securities Inc.
Proceeds will be used to repay existing revolving term bank debt and for general corporate purposes.
The initial conversion price is C$19.00 per common share.
The debentures are non-callable until June 30, 2013, and then provisionally callable for two years until June 30, 2015 if the volume weighted average price of shares is 125% of the conversion price.
Superior is a Calgary, Alta.-based marketer of propane, propane-burning appliances and related support services.
| Issuer: | Superior Plus Corp.
|
| Issue: | Convertible unsecured subordinated debentures
|
| Amount: | C$150 million
|
| Greenshoe: | C$22.5 million
|
| Maturity: | Dec. 31, 2017
|
| Underwriters: | Syndicate led by TD Securities Inc. and CIBC, and including Scotia Capital, National Bank Financial Inc., BMO Capital Markets, Cormark Securities Inc.
|
| Coupon: | 5.75%
|
| Price: | Par, C$1,000
|
| Yield: | 5.75%
|
| Call: | Non-callable until June 30, 2013, then provisionally callable for two years if VWAP of stock is 125% of conversion price
|
| Conversion premium: | 36%
|
| Conversion price: | C$19.00 per share
|
| Conversion ratio: | 52.6316
|
| Pricing date: | Feb. 23
|
| Settlement date: | March 16
|
| Stock listing: | Toronto: SPB
|
| Stock reference: | C$13.93
|
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