Casual Male says all 5% convertibles converted ahead of redemption

By Angela McDaniels

Seattle, Jan. 29 - Casual Male Retail Group, Inc. said that noteholders converted the $53.3 million balance of its 5% convertible senior subordinated notes due 2024 ahead of a redemption planned for Monday.

Previously, the company called $40 million of the notes in December, and holders converted all $40 million before the redemption date of Jan. 8 at a conversation price of $10.65 per share. Casual Male then called the remaining notes.

In December, the company said it expected most of the notes to be converted because its stock was trading well above the conversion price. The stock closed at $12.21 on Friday (Nasdaq: CMRG).

In total, the company reduced its debt by about $94.7 million in exchange for 8.9 million shares and now has no long-term debt outstanding, according to a company news release.

In addition, the company announced plans to repurchase up to 3 million - or $35 million, whichever occurs first - of its shares between Feb. 1 and April 3.

Casual Male is a Canton, Mass.-based retailer of big and tall men's apparel.

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