United Rentals, Inc. (NYSE: URI) today announced that it has given notice of its intention to cause the conversion rights of holders of its outstanding 6½% Convertible Subordinated Debentures due August 1, 2028 (the “Debentures”) and the corresponding rights of holders of its subsidiary’s outstanding 6½% Convertible Quarterly Income Preferred Securities due August 1, 2028 (CUSIP Nos. 91136H306 and 91136H207) (the “Preferred Securities”) to expire on April 8, 2013 (the “Conversion Expiration Date”).
Conversion rights will terminate at 5:00 p.m. on the Conversion Expiration Date. The Preferred Securities are convertible at any time prior to 5:00 p.m. on the Conversion Expiration Date into a portion of the Debentures, which will immediately be converted at a conversion rate of 1.2188 shares of Common Stock for each $50 in aggregate principal amount of Debentures.
The conversion price of the Preferred Securities, as of the close of business on March 7, 2013, is $41.0224 per share of Common Stock. The current market price of the Common Stock, as of the close of business on March 7, 2013, is $53.78.
The Bank of New York Mellon, the trustee for the Preferred Securities, is distributing a Notice of Expiration of Conversion Rights to all registered holders of the Preferred Securities on the date hereof. Copies of such Notice of Expiration of Conversion Rights and additional information relating to the procedure for conversion of the Preferred Securities may be obtained from The Bank of New York Mellon Bondholder Relations by calling 1-800-254-2826.
This announcement does not constitute an offer to buy or sell or the solicitation of an offer to sell or buy securities in any jurisdiction. The Debentures and the Preferred Securities have not been registered under the Securities Act, or the securities laws of any other jurisdiction, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.