PSS World Medical greenshoe exercised, raising convertibles to $150 million

New York, March 5 - PSS World Medical Inc. said the underwriters of its recent offering of convertible senior notes due 2024 exercised the $25 million over-allotment option in full, raising the size of the deal to $150 million.

The Jacksonville, Fla., specialty marketer and distributor of medical products originally sold $125 million of the securities after the market closed on March 2 to yield 2.25% with a 45% initial conversion premium.

Goldman Sachs & Co. was bookrunner for the Rule 144A deal.

PSS World Medical used $35 million of the proceeds to buy back 3 million shares of common stock at a price of $11.79 per share. The repurchase will count against the company's stock buyback program.

The company will also use $90 million of the proceeds to repay borrowings under its $200 million revolving credit facility, reducing the amount outstanding to $35 million. The remainder of the proceeds will be used for general corporate purposes.

© 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.