bumi-resources-returns-with-postponed-cb

Bumi Resources returns with postponed CB

The greatly restructured offering goes down well with investors, allowing the coal producer to raise $300 million for debt repayment.
Indonesian coal producer PT Bumi Resources last night returned to the market with the $300 million convertible bond issue it was forced to pull six weeks ago because investors thought the terms were too aggressive.

Last nightÆs version has much more attractive terms, however, including a lower conversion premium and a significantly higher yield. But more importantly, it has an altogether cleaner structure û having got rid of the coupon and conversion premium step-ups - and contrary to last time gives investors full compensation for the special dividend that the company will pay after selling two of its coal mines.

This did the trick - the deal was more than three times covered and attracted...
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