$100m (+25m) sen unsec cb coming tonight from BOA. Terms: 6 yr, 5.75-6.25% up 25-30%, sc 4 yr@130%, pctns. 30d term swap. UOP = 3.5% b/back, hedge. $450m niche playa w/recurring rev streams in mkt with high barriers to entry 4 overseas co’s/ Mgt felt turnaround was not being reflected in $200m str8 pricing so […]
$125m (25m) 144a senior unsec cb pricing tonight from DB. Terms: 5yr bullet, 3-3.5% up 25-30%, protections, UOP=gcp & potential acq. They provide converged test systems & services or wireless infrastructures. $1B market. So tiny company but doing well: strong sales growth due to 3G upgrades and 4G deployment. This will be their only debt. […]
$350m ($52.5m) sen unsec cb coming tonight from JPM/Citi. Terms: 10yr, 2.5-3% up 37.5-42.5% put/call 5yr, full pctn. UOP=repay debt/gcp. Existing 2% ’20 (12/13 put call) came 2% up 37.5% now x/par up 45% (static 37d). 3.5y DHI ~31 iv (300 bps CDS) w/leaps 40 iv bid. LEN 3yr CDS ~355=25iv & 3/4.7 pts cheap […]
$250m (25m) sen unsec cb coming tonight from JPM. Terms: 30 yr 2.125%-2.625% up 10-15%, s-call yr11 @150%, full pctns. HAPPY. UOP = repay term/loan & stk buy back. Similar structures in mkt = MCHP, VRSN, XLNX. MCHP came 2.125% up 15% (full div pass thru) now x/par up 7%, VRSN came 3.25% up 20% […]
$250m (+37.5m) 144a sen cb pricing tonight from JPM/Citi Terms: 10yr, 1.5-2% up 37.5-42.5, put/call 3.6 yr (12/1/13), t/o & dvd prot. Concurrent $200m straight deal. UOP=debt repayment. Lennar is one of the largest homebuilders in the US. Stk has recouped losses from last 3 yrs. 5 yr CDS 260-270. We’ll be conservative and use […]
$500m (+75m) sub cb coming tonight from CITI. Terms: 5yr, 5.25%-5.75% up 27.5-32.5% ppctns. UOP = CB hedge, repay debt, gcp. #rd biggest cement co in world. Great recovery play. Lost IG rating in 01/09 which led to $15.1B bank refi, asset sales, $1.75N s/debt deal & aggressive cost cutting. Aim= avoid b/debt interest increases […]
$250m (37.5m) REG sen unsec tonight from JPM/MER. Terms: 3yr bullet, 7.75%-8.25% up 17.5-22.5% prot. UOP=pay down cp ($200m). $2.6B title, liability & mortgage insurer. Quality inv port but 1Q rev down in all businesses (mortage/titla = 1Q op losses) ’08 inv w/downs in MGIC/PMI but port now looking more stable w/conservative FI focus. Property/liability […]
$150m (22.5m) sen unsec cb coming from CS/MS. Terms: 5yr, 3.75%-4.25% up 20-25%, pctn. Brw-fac. UOP=gcp/acq. $1.5B med supply co (now sell higher margin diagnostic reagents rather than non-recurring equipment). Grow thru acq (used $115m cash FY08) w/more to come. LTM EBITDA and FCF = 76/62m resp. lev 3.9x co competes against BEC, Roche, J&Jetc […]
$200m [+30m] sr cb from JPM/GS pricing tonight. Terms: 5yr 2.25-2.75% up 22.5-27.5, nc-life, protections. Partial Happy Meal, UOP = gcp, potential M&A, call spread. NuVasive is a medical device so focusing on spine products [$1.3B mkt cap]. It’s an interesting growth story but not a great credit. EBITDA has turned positively. This will be […]
325m (+50m) senior cb coming tonight from GS/DB. Terms: 7yr bullet, 1/2-1% up 22 1/2-27 1/2%. dvd/t/o prot. Prcds to buy back $200m stk. Happy Meal. The mkt historically likes human genome cb issues & guys will focus on the patent infringement case, pending March 5th decision as a short term vol catalyst. Co turned […]