Take-Two prices upsized $120 million convertibles to yield 4.375%, up 25%

New York, May 28 - Take-Two Interactive Software Inc. price an upsized $120 million of five-year convertible senior notes on Thursday after the market closed to yield 4.375% with a 25% initial conversion premium.

The deal came towards the rich end of talk for a coupon of 4.25% to 4.75% and at the cheap end of talk for an initial conversion premium of 20% to 25%.

The deal was increased from a planned amount of $100 million.

Bookrunners Barclays Capital Inc. and J.P. Morgan Securities Inc. have an over-allotment option for an additional $18 million in the registered off-the-shelf offering. The greenshoe was increased from $15 million.

The conversion price is $10.675 and the conversion ratio 93.6768.

The notes will be callable after the third year subject to a trigger at 150% of the conversion price. There are no puts.

There is a contingent conversion trigger at 130% of the conversion price.

The notes will have dividend and takeover protection.

Proceeds will be used to pay for a convertible note hedge transaction and for general corporate purposes.

Settlement is expected on June 3.

Take-two is a New York City-based interactive entertainment software company.

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