New Issue: Pilgrim's Pride prices upsized $500 million 7 7/8% eight-year notes to yield 8%

By Paul A. Harris

St. Louis, Dec. 9 - Pilgrim's Pride Corp. priced an upsized $500 million issue of 7 7/8% eight-year senior notes (B3/BB-/) at 99.271 to yield 8% on Thursday, according to an informed source.

The yield printed at the tight end of 8% to 8¼% price talk.

The notes were priced via Rule 144A and Regulation S with registration rights.

Barclays Capital Inc., BMO Nesbitt Burns, Jefferies & Co., Morgan Stanley & Co. Inc. and Rabo Securities were the joint bookrunners for the issue, which was upsized from $350 million.

The Pittsburg, Texas-based poultry processor will use the proceeds to repay its term loan A.

Issuer:	Pilgrim's Pride Corp.
Face amount:	$500 million, increased form $350 million
Proceeds:	$496,355,000
Maturity:	Dec. 15, 2018
Securities:	Senior notes
Bookrunners:	Barclays Capital Inc., BMO Nesbitt Burns, Jefferies & Co., Morgan Stanley & Co. Inc., Rabo Securities
Co-manager:	ING
Coupon:	7 7/8%
Price:	99.271
Yield:	8%
Spread:	510 bps
Call features:	Callable on and after Dec. 15, 2014 at 103.938, 101.969, par on and after Dec. 15, 2016
Equity clawback:	35% at 107.875 until to Dec. 15, 2013
Change-of-control put:	101%
Trade date:	Dec. 9
Settlement date:	Dec. 14
Ratings:	Moody's: B3
	Standard & Poor's: BB-
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	8% to 8¼%
Marketing:	Roadshow

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