By Rebecca Melvin
Princeton, N.J., Sept. 30 - The TriZetto Group Inc. priced $100 million of 20-year convertible notes at par to yield 2.75% with an initial conversion premium of 30%, a syndicate source said.
The Rule 144A senior unsecured notes sold via joint bookrunners UBS and Banc of America Securities LLC priced at the cheap end of talk, which was for a coupon of 2.25% to 2.75% and for an initial conversion premium of 30% to 35%.
The convertibles were reoffered at a price of 98.
There is an over-allotment option of up to $15 million.
Non-callable for five years, the notes have investor puts at years five, 10 and 15.
Excluding proceeds used to buy back 1 million shares of common stock, Newport Beach, Calif.-based TriZetto plans to use proceeds to fund acquisitions, working capital and other general corporate purposes.
TriZetto is a health care information services company.
| Issuer: | The TriZetto Group Inc.
|
| Issue: | Convertible senior unsecured notes
|
| Amount: | $100 million
|
| Greenshoe: | $15 million
|
| Maturity: | Oct. 1, 2025
|
| Coupon: | 2.75%
|
| Price: | Par
|
| Reoffer price: | 98
|
| Yield: | 2.75%
|
| Conversion premium: | 30%
|
| Conversion price: | $18.85
|
| Conversion ratio: | 53.0504
|
| Calls: | Non-callable for five years
|
| Puts: | In years five, 10 and 15
|
| Bookrunners: | UBS and Banc of America Securities LLC
|
| Pricing date: | Sept. 29
|
| Settlement date: | Oct. 5
|
| Distribution: | Rule 144A
|
| Price talk: | 2.25%-2.75%, up 30%-35%
|
|
|
© 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.
