By Ronda Fears
Nashville, July 2 - Cable Design Technologies Corp. sold $110 million of 20-year convertibles at par to yield 4.0% with a 42.5% initial conversion premium, via lead manager Credit Suisse First Boston.
The Rule 144A deal sold at the cheap end of price talk.
The Pittsburgh-based network communications design firm said proceeds would be used to repay some $83 million of debt, mostly that outstanding on its bank facilities, to repurchase up to $20 million of common stock and general corporate purposes.
Terms of the new deal are:
Issuer: Cable Design Technologies Corp.
| Issue: | Rule 144A convertible subordinated notes
|
| Lead manager: | | Credit Suisse First Boston
|
| Amount | $110 million
|
| Greenshoe: | $16.5 million
|
| Maturity: | July 14, 2023
|
| Coupon: | 4.0%
|
| Price: | par
|
| Yield: | 4.0%
|
| Conversion premium: | 42.5%
|
| Conversion price: | $9.0345
|
| Conversion ratio: | 110.6868
|
| Call: | noncallable for 5 years
|
| Put: | in years 5, 10 and 15
|
| Contingent conversion: | 110%
|
| Price Talk: | 3.5-4.0%, up 42.5-47.5%
|
| Pricing Date: | July 1, after the close
|
| Settlement: | July 8
|
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