08-06-14 Synchronoss Technologies (SNCR)

$200m (+30m) sen unsec cb coming tomorrow from CS/JPM. Terms: 5y ¾-1¼% up 32½-37½%, full pctns. UOP=repay $40m rev/gcp.$1.7bn provider of on-demand transaction mgt solutions & cloud based   software activation services 4 connected devices.

On-demand biz= top 5 custies=77% rev w/VZ & AT&T each representing >10%.

PFcash =235m, debt=200m, LTMebitda=109m, fcf=15m, lev=1.8x.Revolv being paid down=L+225.

We’d assume L+350. ADV=410k, no leaps, 1y 100/ 200d=41/44%.Given low ADV we’d assume 35%.Theo=100.1/102.1/104.1 Another decent cap structure set up 4 h/funds; Elevated stk eval (@ all time high & +66% from 02/14 low) w/solid b/sheet, low lev Less obvious 4 o/r’s given magnitude of stk move already. scndry weaker at mo BUT being small, cheap & tech w/bring ON the DEMAND

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