Asustek completes CB

Taiwan motherboard manufacturer secures aggressive terms in a strong market.

Lead manager Merrill Lynch priced an increased $321.6 million convertible for Asustek Computer yesterday Thursday. Terms were adjusted slightly to extract more value, with the issue price raised from par to 100.50% and proceeds from $280 million to $281.4 million. With the greenshoe expected to be exercised today, proceeds will rise to $321.6 million.

Final terms comprise a five-year maturity with two-year call and put options and redemption at 98.5% to yield minus 1%. The conversion premium was fixed at the top end of the indicative range at 32.50% to the stock's spot close of NT$76.5.

Underlying assumptions comprise a bond floor of 92%, implied volatility of 38% and...

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222