New Issue: Jostens sells $150 million proceeds 10-year discount notes to yield 10¼%

By Paul A. Harris

St. Louis, Nov. 25 - Jostens Holding Corp. sold $247.2 million of zero-coupon senior discount notes due Dec. 1, 2013 (Caa2/B-) at 60.682 on Tuesday to yield 10¼%, according to a syndicate source.

The sale generated $150 million of proceeds.

Price talk was for a yield of 10¼%-10½%.

Credit Suisse First Boston and Deutsche Bank Securities were bookrunners on the Rule 144A/Regulation S deal.

Proceeds will be used to purchase Jostens IH Corp.'s outstanding 8% senior redeemable preferred stock and to pay a dividend.

The issuer is a Minneapolis-based maker of yearbooks, class rings, graduation products and awards.

Issuer:	Jostens Holding Corp.
Face amount:	$247.2 million
Proceeds:	$150,005,904
Maturity:	Dec. 1, 2013
Security description:	Senior discount notes
Bookrunners:	Credit Suisse First Boston, Deutsche Bank Securities
Coupon:	0/10¼%
Price:	60.682
Yield:	10¼%
Spread:	606 basis points over 4¼% Treasury due November 2013
Call features:	Callable after Dec. 1, 2008 at 105.125, then 103.417, 101.708, declining to par on Dec. 1, 2011 and thereafter
Equity clawback:	Until Dec. 1, 2006 at 110.25 for up to 35%
Settlement date:	Dec. 2 (T+4)
Rating:	Moody's: Caa2
	Standard & Poor's: B-
Rule 144A Cusip:	481086AA4

© 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.