| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers K > Headlines for KLA Corp. > News item |
KLA prices oversubscribed capped tender offer for 4.65% notes, will prorate
By Wendy Van Sickle
Columbus, Ohio, July 6 – KLA Corp. said that its capped tender offer with an early tender deadline at 5 p.m. ET on July 5 was oversubscribed and in a separate news release announced pricing of the offer on Wednesday.
The company is offering to buy up to $500 million principal amount of its $1.25 billion outstanding 4.65% senior notes due 2024 (Cusip: 482480AE0).
Noteholders tendered $705,822,000 of their notes by the early deadline.
The company said that it will be accepting tendered notes on a prorated basis.
KLA said it will pay a total consideration of $1,024.50 per $1,000 principal amount of notes after pricing was determined at 9 a.m. ET on July 6 using the 2.5% U.S. Treasury due May 31, 2024 plus 60 basis points.
Noteholders who tendered by the early deadline will receive the total consideration, which includes a $30 early tender payment.
Interest will also be paid to the applicable settlement date.
Early settlement will be July 7.
The expiration date is midnight ET on July 19, but the company said it does not expect to accept any tenders submitted after the early deadline.
Funding for the tender offer is coming from a recent offering of senior notes. The offer is subject to the financing condition. KLA priced $3 billion of notes in three parts on June 21.
BofA Securities (980 387-3907, 888 292-0070, debt_advisory@bofa.com) and Citigroup (212 723-6106, 800 558-3745, ny.liabilitymanagement@citi.com) are the dealer managers for the tender offer.
D.F. King & Co., Inc. is the information and tender agent for the offer (800 290-6424, 212 269-5550, kla@dfking.com).
KLA develops and manufactures process-control and process-enabling solutions for electronic devices. The company is based in Milpitas, Calif.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.