Comcast Corp. Wednesday announced the offering of $ 250 million of 3 3/8%/5 1/2% “step-up” convertible subordinated debentures due 2005.
Marketed as “SIRENs”(step-up income redeemable equity notes) by sole underwriter First Boston, the debentures will bear interest at 3 3/8% per annum from the date of issuance until Sept. 9, 1997, and 5 1/2% per annum thereafter until maturity or earlier redemption.
The SIRENs may be converted into shares of Class A Special common stock at the option of the holder at any time at a conversion price of $ 36.75. The SIRENs are redeemable, in whole or in part, on or after Sept. 9, 1997.
Comcast has granted First Boston an over-allotment option to purchase up to an additional $ 25 million of SIRENs.
Comcast said it will use proceeds from the offering as working capital and for general corporate purposes.