Lifetime Brands declares pricing of Convertible Senior Notes
26 Jul '06
2 min read
Home accessories retailer Lifetime Brands Inc announced that it has priced $65 million of Convertible Senior Notes due 2011 pursuant to Rule 144A under the Securities Act of 1933, as amended (upsized from the $50 million announced earlier today).
The Company expects to grant the initial purchasers a 30-day option to purchase up to an additional $10 million aggregate principal amount of the notes to cover over-allotments, if any. The sale of the notes is expected to close on June 27, 2006, subject to customary closing conditions.
The Company will pay interest on the notes at a rate of 4.75% per annum until maturity on July 15, 2011, subject to earlier conversion. The notes will have an initial conversion rate of 35.7143 shares of the Company's common stock per $1,000 principal amount of notes, representing an initial conversion price of $28.00 per share, which is a premium of 25.45% over the closing bid price on the Nasdaq of $22.32 per share on June 21, 2006.
The Company, at its sole discretion, may elect to deliver either shares of the Company's common stock, cash, or a combination of cash or common stock in satisfaction of the Company's obligations upon conversion of the notes from time to time, except to the extent the Company irrevocably elects to make a cash payment of principal upon conversion.
This announcement is neither an offer to sell nor a solicitation to buy any of these securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.
marketing@alchempro.com
