Jazz Pharmaceuticals deal prices, trades actively; Synchronoss new issue slips slightly

By Stephanie N. Rotondo

Phoenix, Aug. 8 – Trading in the convertible bond market was being dominated by Jazz Pharmaceuticals Inc.’s newly priced $500 million offering of 1.875% exchangeable senior notes due 2021, a trader reported Friday.

“It’s all one issue,” he said at mid-morning, noting that of the total trades that had taken place in the market, Jazz made up the bulk of the volume.

At the close, the issue was seen at 101.25 bid, 101.75 offered.

The equity ended the day at $136.58, up $1.14.

Barclays, Citigroup Global Markets Inc., J.P. Morgan Securities LLC and BofA Merrill Lynch were the joint lead managers.

The initial exchange rate is 5.0057 ordinary shares per each $1,000 of notes, equal to an initial exchange price of $199.77 per share – a 47.5% premium over the Aug. 7 closing share price of $135.44.

The notes can be exchanged for cash or equity, or a combination thereof.

Among other recent deals, Synchronoss Technologies Inc.’s $200 million of 0.75% convertible senior notes due 2019 were steady and a lot less active than they had been Thursday, the trader said.

“That’s the convert market,” he said. “Things trade for a day and then that’s it.”

The deal priced Thursday and was the most actively traded issue during that session.

The notes ended Friday at 102.125 bid, 102.625 offered.

The stock closed up a dime at $38.30.

Credit Suisse Securities (USA) LLC and JPMorgan are the joint bookrunners.

© 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.