B Riley (RILY) has priced their previously announced baby bond issue.
The issue prices at 5.00%. The issue is rated BBB+ by Egan-Jones.
The company is selling a giant sized 12 million shares (bonds) with another 1.8 million available for over-allotment. Interestingly the company had preannounced a 6 million share sale so this was obviously upsized from the original amounts.
RILY has many outstanding baby bonds and preferred stock issues which can be seen here.
With the large issuance for this new issue there should be little doubt they will redeem the RILYO 6.75% issue. Additionally they may redeem the RILYM 6.375% issue. In both instances the company would have to pay a ‘bonus’ for early redemption.
The issue will trade on NASDAQ sometime in the next week or so under ticker RILYG. There is no OTC trading, but if one desires access to shares prior to exchange trading they will need to call their brokers bond desk.