Summary
This 8-K filing from Amphenol Corporation reports on the company's successful issuance and sale of $600 million in 4.75% Senior Notes due 2014. The offering, conducted as an underwritten public offering, generated net proceeds of approximately $594.5 million after deducting underwriting discounts and estimated expenses. These proceeds are earmarked for the repayment of amounts outstanding under the company's revolving credit facility. As a consequence of using the proceeds to pay down debt, Amphenol expects to terminate certain interest rate swap agreements, anticipating a one-time charge of approximately $5 million, or $0.02 per share. The Notes are unsecured and rank equally with other senior unsecured indebtedness. This transaction reflects Amphenol's proactive debt management and its strategy to optimize its capital structure.
Key Highlights
- 1Issued and sold $600 million aggregate principal amount of 4.75% Senior Notes due 2014.
- 2Net proceeds of approximately $594.5 million were received from the offering.
- 3Proceeds will be used to repay outstanding amounts under the company's revolving credit facility.
- 4Expects to incur a one-time charge of approximately $5 million ($0.02 per share) related to the termination of interest rate swap agreements.
- 5The Notes bear interest at 4.75% per annum, payable semi-annually.
- 6The Notes mature on November 15, 2014.
- 7The Notes are unsecured and rank equally with other unsecured senior indebtedness.