ON Semiconductor seeks amendment to allow loan repayments, more junior debt

By Sara Rosenberg

New York, Nov. 29 - ON Semiconductor Corp. is seeking an amendment to its credit facility that would allow the company to replace a significant portion of its bank debt with other debt, to incur additional junior debt and to permit the expenditure of up to $300 million to repurchase shares of common stock, according to a company news release.

"With our current strong cash position, ongoing cash flow generating capabilities of the business and the availability of lower cost financing, we believe we are in a position to take a number of steps to continue improving our overall financial performance. The proposed changes to our bank facility will allow us to be opportunistic in taking advantage of market conditions," said Donald Colvin, executive vice president and chief financial officer, in the release.

ON Semiconductor is a Phoenix-based designer, manufacturer and marketer of power and data management semiconductors and standard semiconductor components.

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