Trident Resources, Masonite International finish week with deals; high-yield bonds trade up

By Cristal Cody

Prospect News, April 8 - Trident Resources Corp. and Masonite International Corp. both priced their expected deals on Friday in Canadian and U.S.-dollar denominated offerings, informed sources said.

In trading in the high-yield bond markets in Canada and the United States, bonds were active on the day, according to traders.

Paramount Resources Ltd.'s bonds traded up after the company announced plans to buy the remaining stake it does not own in ProspEx Resources Ltd., an informed source said.

Perpetual Energy Inc.'s 8.75% notes due 2018 (B3/B-/) were seen trading Friday "just above 101," one source said.

In other trading, bonds from Catalyst Paper Corp. and OPTI Canada Inc. were active, traders said.

Canadian government bonds edged down on Friday, sending yields up 1 basis point. The 10-year bond yield rose 1 bp to 3.44% and the 30-year bond yield also rose 1 bp to 3.85%.

Statistics Canada said overall employment in March was unchanged. The unemployment rate fell 0.1% to 7.7%.

Masonite International priced an upsized $275 million issue of 10-year senior notes (B3/B+/) at par to yield 8¼% on Friday, according to an informed source.

The yield printed at the tight end of price talk, which had been set in the 8 3/8% area.

Merrill Lynch, Wells Fargo Securities, LLC, Deutsche Bank Securities Inc. and RBC Capital Markets, LLC were the joint bookrunners for the issue, which was upsized from $250 million.

A trader saw Masonite International's new 8¼% notes due 2021 at 102 bid, 102½ offered.

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