By Paul A. Harris
St. Louis, March 3 - Conexant Systems Inc. priced a $175 million issue of 11¼% five-year senior secured notes at 99.063 to yield 11½% on Wednesday, according to market sources.
Goldman Sachs & Co. led the Rule 144A with registration rights deal, which was rolled up club-style by one or two accounts, a market source told Prospect News.
Proceeds will be used to fund the tender for the company's 4% convertible subordinated notes due March 2026. Any excess proceeds will be used for general corporate purposes, including repurchasing from time to time in the open market or otherwise, any remaining convertible subordinated notes that remain outstanding as of March 1, 2011.
Conexant is a fabless semiconductor company based in Newport Beach, Calif.
| Issuer: | Conexant Systems Inc.
|
| Amount: | $175 million
|
| Maturity: | March 15, 2015
|
| Securities: | Senior secured notes
|
| Bookrunner: | Goldman Sachs & Co.
|
| Coupon: | 11¼%
|
| Price: | 99.063
|
| Yield: | 11½%
|
| Spread: | 924 bps
|
| First call: | March 15, 2013 at 105.625
|
| Equity clawback: | 35% at 111.75 until March 15, 2013
|
| Trade date: | March 3
|
| Settlement date: | March 10
|
| Distribution: | Rule 144A with registration rights
|
© 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.
