$200m (+30m) sen unec CB coming tomorrow night from C/MS. Terms: 5y, 5-5½% up 22½-27½%, 4y S/C @ 160%, full pctns. UOP=gcp. No brw, this is a directional play on natural gas infrastructure. Built ~25% n/gas stations w/multiple users;UPS (all’14 HD truck purchases=NGV),AT&T,P&G (20% trucks=NG by YE15),Ryder. Kenworth predicts NGVs=4-5% of HD trucks in ’13. […]
$600m (+100m) 2 tranche sen unsec cb coming tomorrow from MS/BARC Terms: <5y> 1⅝-2⅛% <7y> 2⅛-2⅝% up 27½-32½%,full pctns.UOP= OPTR/TSRX acq/cb hedge. OPTR acq=earnings accretive thru Dificil but our analyst is less enthused by the TSRX acq given generic competition over it’s main Tedzolid antibiotic. PFcash=890m,debt =1.05bn, LTMebitda=196m, FCF=150m. OPTR=credit +ve, we’d assume L+450/500 respectively […]
$550m (+50m) sen unsec cb coming tonight from CITI/UBS. Terms: 5yr 2.5% up 35-45%, put 3y, s/call @130% 3y, full pctns. UOP = GCP Stock +185% since 03/13 low, +4.4 fold since 01/12 & a $9.7B market cap. China & US cb mkt= uneasy history w/US shell hold co vs. assets domiciled away but tough […]
$575m (+75m) sen unsec cb coming from MS/JPM Terms: 5y 0.75-1.25% up 35-40%. UOP = $100m buyback/gcp/terminate $250m revolver Partial happy meal. Great to see JDSU back. Co redeemed a large portion of 1% w/rest put back 05/15/13. PF Cash = 952m Debt = 214m LTM ebitda = 214m FCF = 100m Q4 results […]
$225m (+33.75m) sen sub cb coming tonight from JPM/BMO. Terms: 5y, 3-3½% up 35-40%. NC-3, SC @130% thereafter w/makewhole. UOP =GCP (development on new mines). PF cash:320mm LTM EBITDA:140mm PF debt:295mm Gross Lev: 2.1x, we’ll use L+650. 2yr 90d real vol= 88, but ADV=6mm (BTO CN), 830k (BTG US) and options non-existant. W/ […]
Make sure you talk to the trustee. URI 4% 5/15/15 can elect to specify a cash percentage, the amount of cash that we will deliver in lieu of all or the applicable portion of the daily share amount in respect of each trading day in the applicable observation period will equal 1) the cash percentage […]
For the EXH 4.25% convertible bonds due March 15, 2014, watch the conversion language prior to maturity. If the relevant conversion date occurs on or after March 15, 2014, and regardless of the settlement method, the observation period will be, “the 40 consecutive trading days beginning on and including the 42nd schedule trading day immediately […]
SFD Note … Two schools of thought (Merrill Lynch) SFD reports this morning. Bonds rallied both Monday and yesterday into this morning’s earnings – something we have not seen yet in 2013! I see two schools of thought for this bond going forward: 1) The listed market is very high. The implied move for today […]
2/19/13 NTAP 1.75%: decent buy vs the listed options vs. 36.50: 16.15-116.35 On my offer its 30.5% vol (even taking into account the 20d vwap averaging). I am selling Jun 31 strike for 36% vol and 32 strikes for 34.7% vol as a hedge. At 1.75 points of premium and 4vols lower implied than listed, […]
GM 4.5% mandys have a 40 day observation period (the average of the closing prices per share of our common stock over the 40 consecutive trading day period ending on the third trading day immediately preceding the mandatory conversion date)