-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, TIZB7R5FyduLJcsoWmWnC7QDDV5rtGIF9/wk9LxArLKcN62mLONLYGK24si2UDHm riNq3RBZd6O4rQ0xN/BGAQ== 0000950123-07-003072.txt : 20070302 0000950123-07-003072.hdr.sgml : 20070302 20070302060308 ACCESSION NUMBER: 0000950123-07-003072 CONFORMED SUBMISSION TYPE: FWP PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20070302 DATE AS OF CHANGE: 20070302 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: MYLAN LABORATORIES INC CENTRAL INDEX KEY: 0000069499 STANDARD INDUSTRIAL CLASSIFICATION: PHARMACEUTICAL PREPARATIONS [2834] IRS NUMBER: 251211621 STATE OF INCORPORATION: PA FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: FWP SEC ACT: 1934 Act SEC FILE NUMBER: 333-140778 FILM NUMBER: 07665519 BUSINESS ADDRESS: STREET 1: 1500 CORPORATE DRIVE STREET 2: SUITE 400 CITY: CANONSBURG STATE: PA ZIP: 15317 BUSINESS PHONE: 724-514-1800 MAIL ADDRESS: STREET 1: 1500 CORPORATE DRIVE STREET 2: SUITE 400 CITY: CANONSBURG STATE: PA ZIP: 15317 FORMER COMPANY: FORMER CONFORMED NAME: FRM CORP DATE OF NAME CHANGE: 19711003 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: MYLAN LABORATORIES INC CENTRAL INDEX KEY: 0000069499 STANDARD INDUSTRIAL CLASSIFICATION: PHARMACEUTICAL PREPARATIONS [2834] IRS NUMBER: 251211621 STATE OF INCORPORATION: PA FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: FWP BUSINESS ADDRESS: STREET 1: 1500 CORPORATE DRIVE STREET 2: SUITE 400 CITY: CANONSBURG STATE: PA ZIP: 15317 BUSINESS PHONE: 724-514-1800 MAIL ADDRESS: STREET 1: 1500 CORPORATE DRIVE STREET 2: SUITE 400 CITY: CANONSBURG STATE: PA ZIP: 15317 FORMER COMPANY: FORMER CONFORMED NAME: FRM CORP DATE OF NAME CHANGE: 19711003 FWP 1 y24775fwfwp.htm FREE WRITING PROSPECTUS FWP
 

Issuer Free Writing Prospectus
Filed pursuant to Rule 433
Registration Statement No 333-140778
(Supplementing the Preliminary Prospectus Supplement
related to the Senior Convertible Notes dated February 20, 2007)
Mylan Laboratories Inc.
Terms and Conditions of Senior Convertible Notes due 2012 Offering
     
Maturity date
  March 15, 2012. 
Interest payments:
  1.25% payable in cash semiannually in arrears. 
Interest payment dates:
  March 15 and September 15 of each year, beginning September 15, 2007. 
Conversion rate:
  44.5931 shares of common stock per $1,000.00 principal amount of notes. 
Conversion rate cap:
  51.2821 
Conversion trigger price:
  $29.15 
Last sale price of the common stock:
  $20.26 
Conversion price:
  $22.43 per share, subject to adjustment.
Public offering price per note:
  $1,000 (100%) 
Underwriting discount per note:
  $20.00 (2.00%) 
Aggregate principal amount:
  $550,000,000 ($600,000,000 if the over-allotment option is exercised in full). 
Proceeds, before expenses, to Mylan Laboratories Inc.:
  $539,000,000 ($588,000,000 if the over-allotment option is exercised in full). 
Pricing date:
  March 1, 2007. 
Settlement date:
  March 7, 2007. 
CUSIP:
  628530AG2 
Concurrently with this offering, the issuer is offering 22,750,000 shares (or 26,162,500 shares if the underwriters exercise in full their option to purchase additional shares) of its common stock in a separate public offering. No selling securityholders will participate in that offering. Neither offering is conditioned on the other.
Make Whole Premium upon a Fundamental Change
If certain fundamental changes occur and a holder elects to convert in connection with such transaction, the conversion rate will be increased by a number of shares. The number of additional shares will be determined by reference to the following table and is based on the date on which such fundamental change becomes effective and the price paid per share of common stock on the effective date:

 

 

                                                         
            Effective Date
    Stock Price on                        
    Effective Date   3/1/2007   3/15/2008   3/15/2009   3/15/2010   3/15/2011   3/15/2012
 
   $ 19.50       6.6890       6.6890       6.6890       6.6890       6.6890       6.6890  
 
   $ 22.50       4.2293       4.1872       4.0387       3.7054       2.9796       0.0000  
 
   $ 25.00       2.9554       2.8258       2.5899       2.1854       1.4427       0.0000  
 
   $ 27.50       2.1121       1.9474       1.6900       1.2984       0.6829       0.0000  
 
   $ 30.00       1.5441       1.3704       1.1234       0.7838       0.3253       0.0000  
 
   $ 35.00       0.8835       0.7282       0.5360       0.3113       0.0920       0.0000  
 
   $ 40.00       0.5491       0.4275       0.2855       0.1489       0.0494       0.0000  
 
   $ 45.00       0.3689       0.2762       0.1812       0.0965       0.0384       0.0000  
 
   $ 50.00       0.2789       0.2080       0.1346       0.0737       0.0336       0.0000  
 
   $ 75.00       0.1354       0.1015       0.0681       0.0414       0.0223       0.0000  
 
   $ 100.00       0.0958       0.0724       0.0484       0.0292       0.0166       0.0000  
If the stock price on the effective date exceeds $100.00 per share, subject to adjustment, no adjustment to the applicable conversion rate will be made.
If the stock price on the effective date is less than $19.50 per share, subject to adjustment, no adjustment to the applicable conversion rate will be made.
Net cost of Convertible Note Hedge and Warrant Transaction: $73,920,000
Shares Underlying Convertible Note Hedge and Warrant Transactions: 24,526,205
Exercise Price of Sold Warrant: $31.20
Underwriters
Merrill Lynch & Co.
JPMorgan
Citigroup
ABN AMRO Rothschild LLC
BNY Capital Markets, Inc.
HSBC
Mitsubishi UFJ Securities
NatCity Investments, Inc.
PNC Capital Markets LLC
RBS Greenwich Capital
SunTrust Robinson Humphrey
The issuer has filed a registration statement (including prospectuses and supplements thereto) with the Securities and Exchange Commission, or SEC, for the offerings to which this communication relates. Before you invest, you should read the prospectuses (and the supplements thereto) in those registration statements and other documents the issuer has filed with the SEC for more complete information about the issuer and these offerings. You may get these documents for free by visiting EDGAR on the SEC Web site at www.sec.gov. Alternatively, the issuer, any underwriter or any dealer participating in these offerings will arrange to send you the prospectus if you request it by calling toll free 1-866-500-5408.

 

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