Liberty TripAdvisor to price $300 million exchangeables due 2051 to yield 0.25%-0.5%, up 30%-35%

By Abigail W. Adams

Portland, Me., March 22 – Liberty TripAdvisor Holdings, Inc. plans to price $300 million of exchangeable debentures due 2051 with price talk for a coupon of 0.25% to 0.5% and an initial exchange premium of 30% to 35%, according to a market source.

The debentures will be issued by Liberty TripAdvisor Holdings and exchangeable for TripAdvisor Inc. common stock.

Morgan Stanley & Co. LLC is an active bookrunner for the Rule 144A offering, which carries a greenshoe of $30 million.

The debentures are non-callable until March 27, 2025 and then freely callable.

They are putable on March 27, 2025.

Proceeds will be used to fund the repurchase of the company’s 8% series A cumulative redeemable preferred stock in a private transaction with Certares Management LLC.

Liberty TripAdvisor will repurchase approximately 40% of the preferred shares held by Certares based on the closing price of TripAdvisor’s stock on March 19.

Liberty TripAdvisor is the holding company for its subsidiary TripAdvisor.

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