MasTec Prices Note Offering At $100 Million

CORAL GABLES, Fla. (AP) — Industrial contractor MasTec Inc. said Tuesday it has priced a convertible note offering of common stock at $100 million to be used for working capital, possible acquisitions and general corporate purposes.

Its shares fell $1.44, or 10.8 percent, to $11.93 in premarket trading.

The Coral Gables, Fla., company said it has granted underwriters an option to purchase up to $15 million more shares to cover over-allotments, if any. The convertible notes will pay interest of 4 percent semiannually and mature on June 15, 2014, unless repurchased or converted.

MasTec also said Jon Wanzek, founder and chief executive of Wanzek Construction Inc. and his affiliates, have agreed to sell 4.5 million common shares at a public offering price of $12.125 per share.

Underwriters may purchase an additional 675,000 shares to cover over-allotments, if any.

Wanzek and his affiliates received 7.5 million MasTec shares with MasTec's acquisition of Wanzek Construction in 2008, MasTec said.

The offerings are expected to close Friday.

Morgan Stanley is the bookrunning manager and FBR Capital Markets is co-manager of the offerings.