MGIC Investment Sells $390 Million of Convertible Debentures Due 2063 in Private Placement

NEW YORK (AP) -- Mortgage insurer MGIC Investment Corp. said Wednesday it has sold $390 million of its 9 percent convertible junior subordinated debentures due 2063 in a private transaction.

In a filing with the Securities and Exchange Commission, MGIC said the total includes $25 million of debentures sold on Tuesday as a result of the purchasers exercising in full an option to buy additional debentures.

The initial conversion price is about $13.50 per share, the Milwaukee-based company said.

MGIC shares fell 59 cents, or 5.1 percent, to close at $10.90. Shares gained 13 cents to $11.03 in aftermarket trading.