New York-based Sirius Satellite Radio [Nasdaq: SIRI] announced that it priced an offering of $250 million of 2-1/2 percent convertible notes due 2009, to a qualified institutional buyer. Sirius has also granted the initial purchaser a 30-day option to purchase up to an additional $50 million principal amount of the notes.

Each $1,000 in principal amount of the notes will be convertible, at the option of the holder, into 226.7574 shares of Sirius’ common stock, at an effective price of $4.41 per share. Sirius plans to use the net proceeds for general corporate purposes.