LMI Sets Rights-Offering Price

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Liberty Media International Inc.’s board of directors has approved the pricing terms of the company’s previously announced rights offering.

The record date for the rights offering has not yet been set by the board of directors, but the company said it anticipates a mid-July start.

Holders of record of LMI series-A common stock at the close of business on the record date will receive 0.20 transferable subscription rights for each share held. Each whole series-A right will entitle the holder to purchase one share of series-A common stock at a subscription price of $25 each, which represents an approximate 32% discount to the last sale price of LMI's series-A common stock June 14.

Holders of record of LMI series-B common stock at the close of business on the record date for the rights offering will receive 0.20 transferable subscription rights for each share held. Each whole series-B right will entitle the holder to purchase one share of series-B common stock at a subscription price of $27.50, which represents a 10% premium to the series-A subscription price.

In addition, LMI said, each whole series-A and series-B right will entitle the holder to subscribe -- at the same applicable subscription price pursuant to an oversubscription privilege -- for additional shares, subject to proration.

Assuming that the offering is fully subscribed, LMI expects gross proceeds of $750 million.

The Liberty Media Corp. spinoff includes Liberty’s stake in UnitedGlobalCom Inc., a 45% interest in Japanese cable company Jupiter Telecommunications Co. Ltd. and a 50% interest in Japanese programmer Jupiter Programming Co. Ltd.

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