CSG Systems InternationalInc. on April 11 announced it repurchased$66 million in principal amount of its outstanding 3.0% senior subordinated convertiblenotes issued in March 2010, due March 1, 2017, for about $126 million.
The purchase price was based on the average daily volume weightedaverage prices of CSG's common stock over a 20-trading day period beginning March10 and was paid with a portion of the net proceeds from the company's offering of$230 million of 4.25% convertible senior notes due 2036 that were issued March 15.This brings the total repurchases of 2010 convertible notes to date to $106 millionof the original aggregate principal balance of $150 million, for a total repurchaseamount of about $199 million. CSG agreed to repurchase the $106 million 2010 convertiblenotes in conjunction with the issuance of the 2016 convertible notes.
After the repurchases, the par value of the remaining outstanding2010 convertible notes is $44 million. As of March 16, the closing price of CSG'scommon stock exceeded 130% of the conversion price for the required period, thusallowing for the remaining 2010 convertible notes to continue to be convertibleat the holder's option through the fiscal quarter ending June 30. The conversionprice is currently $22.83, or 43.8047 shares per $1,000.