CSK Auto underwriters exercise greenshoe, raising exchangeables to $100 million

By Angela McDaniels

Seattle, Dec. 23 - CSK Auto Inc.'s underwriter for its 4 5/8% senior exchangeable notes due 2025 has exercised its $15 million over-allotment option in full, according to an 8-K report filed with the Securities and Exchange Commission. The size of the deal is now $100 million

The company originally sold $85 million of the exchangeable notes on Dec. 14 at par with a coupon of 4.625%, which steps down to 4.375% in five years, and a 37.5% initial conversion premium. The bookrunner for the Rule 144A deal was JP Morgan Securities.

The notes are non-callable for five years and callable at par after that, with puts in years five, 10 and 15.

The exchangeables were issued by CSK Auto Inc. and are exchangeable into the common stock of parent CSK Auto Corp., a Phoenix-based automotive aftermarket retailer.

Proceeds were earmarked, along with credit facility borrowings, to fund the acquisition of Murray's Inc.

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