Dex Media's bank debt was down a point-and-a-half on a rumor that phone-directory firm RH Donnelley is in talks to buy the company. Its term "B" loan was trading at par from 101 1/2. The bank loan was down on concerns that Dex Media's debt holders would be paid back at par in an acquisition. There would be no call protection if its debt is refinanced. "Nobody knows when it is going to be acquired, which is why it is still trading at par," said a trader. Dex Media declined to comment. RH Donnelly said it does not comment on rumors.
Dex Media Trades Down On Acquisition Talks