Agilysys investors convert 6.75% trust preferreds for 1.26 million shares, redeem for $109 million cash

By Jennifer Chiou

New York, June 16 - Agilysys, Inc. said $105.4 million of its $125.3 million 6.75% convertible trust preferred securities were redeemed for $109 million in cash while the remaining 398,324 trust preferreds were converted to 1,264,505 shares of Agilysys common stock ahead of the redemption.

Agilysys investors were required to accept a cash payment of $51.72 for each trust preferred security or convert the securities into Agilysys common shares at a 3.1746 conversion rate by Wednesday.

The redemption is meant to increase financial flexibility and shareholder value through the elimination of the annual distribution.

The company, which funded the redemption with existing cash balances, said the conversion left it with 30.3 million shares outstanding.

Mayfield Heights, Ohio-based Agilysys distributes and resells computer products.

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