New Issue: Spectrum Brands sells upsized $300 million eight-year notes at par to yield 6¾%

By Paul A. Harris

Portland, Ore., March 15 - Spectrum Brands, Inc. priced an upsized $300 million issue of eight-year senior notes (B1/B-/) at par to yield 6¾% on Thursday, according to an informed source.

The yield printed at the tight end of the 6¾% to 7% yield talk.

Credit Suisse Securities (USA) LLC ran the books for the quick-to-market deal, which was upsized from $275 million.

The Madison, Wis., consumer products company plans to use the proceeds to fund a previously announced tender offer for its 12% senior subordinated toggle notes due 2019.

Issuer:	Spectrum Brands, Inc.
Amount:	$300 million, increased from $275 million
Maturity:	March 15, 2020
Securities:	Senior notes
Bookrunner:	Credit Suisse Securities (USA) LLC
Co-managers:	Barclays Capital Inc., Deutsche Bank Securities Inc., Jefferies & Co., Inc.
Coupon:	6¾%
Price:	Par
Yield:	6¾%
Spread:	490 bps
Call features:	Make-whole call at Treasuries plus 50 bps until March 15, 2015, then callable at 105.063, 103.375, 101.688, par on and after March 15, 2018
Equity clawback:	35% at 106.75 until March 15, 2015
Change-of-control put:	101%
Trade date:	March 15
Settlement date:	March 20
Ratings:	Moody's: B1
	Standard & Poor's: B-
Distribution:	Rule 144A for life and Regulation S
Price talk:	6¾% to 7%
Marketing:	Quick to market

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