Sothbey intends to acquire its NY headquarters

Sotheby has proposed to acquire its New York headquarters, in Manhattan. To arrange for the funds, it has placed on offer $300mn worth of bonds - $150 mn of senior unsecured convertible notes which are due in 2013, and $150mn of senior unsecured notes due in 2015, to qualified institutional buyers. The funds will be employed in the acquisition, and to redeem $100 mn of existing 6.875 percent notes due in 2009.