NEW YORK Cendant Corp. consummated the sale of $1,232,715,000 principal amount at maturity of zero-coupon senior convertible contingent notes due 2021 in a private offering through Lehman Brothers. The notes were offered at an initial price of $608.41 per $1,000 principal amount at maturity, with gross proceeds of approximately $750 million. The underwriter will also have a 30-day option to purchase up to an additional $246,543,000 principal amount at maturity of notes.
Each $1,000 principal amount at maturity note will be convertible into 33.4 shares of CD common stock if the closing price of CD common stock on the New York Stock Exchange exceeds specified levels or in the event Cendant s credit rating falls below investment grade or if Cendant calls the notes for redemption or engages in certain corporate transactions. (2/13/01)