ArcelorMittal greenshoe exercised, lifts convertibles to $800 million

By Devika Patel

Knoxville, Tenn., April 30 - Underwriters for ArcelorMittal's 5% five-year convertible senior notes exercised their over-allotment option in full for $100 million more of the notes, increasing the size of the issue to $800 million, the company said in news release.

As previously reported, the company sold the notes at par on April 29 via joint global coordinator Goldman Sachs International and joint bookrunners Goldman Sachs International, Calyon and Societe Generale Corporate & Investment Banking.

The bonds have a conversion premium of 32.4% and a conversion ratio of 33.1675, which equals a conversion price of $30.15.

The bonds are non-callable for life with no puts, and they will be stock settled.

Proceeds will be used to lengthen the company's debt maturity profile and refinance existing debt under various revolving credit facilities, with maturities ranging from 2010 until 2012.

ArcelorMittal is a Luxembourg City, Luxembourg-based steel maker.

© 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.