8-KOther Events

ENTEGRIS INC 8-K Report (Feb 26, 2003)

Filed February 26, 2003For Securities:ENTG

Summary

Entegris, Inc. (ENTG) has announced a significant strategic acquisition on February 11, 2003, purchasing the wafer and reticle carrier (WRC) product lines from Asyst Technologies, Inc. for $38.75 million. This acquisition is funded through a combination of existing cash reserves and revolving credit facilities, indicating a disciplined approach to capital allocation. The transaction is expected to bolster Entegris's product portfolio in the semiconductor manufacturing supply chain. The company has also entered into agreements for intellectual property licensing, including royalty payments on certain WRC products for five years, and has assumed warranty obligations for products sold prior to the acquisition. These arrangements, along with a transition services agreement, aim to ensure a smooth integration of the acquired business. Investors should note that the filing includes forward-looking statements, and actual results may differ due to various risks detailed in Entegris's other SEC filings.

Key Highlights

  • 1Entegris acquired the wafer and reticle carrier (WRC) product lines from Asyst Technologies, Inc. for $38.75 million.
  • 2The acquisition was completed on February 11, 2003.
  • 3Funding for the acquisition was sourced from $14 million drawn from revolving credit facilities and the remainder from Entegris's existing cash and short-term investments.
  • 4Entegris will license certain intellectual property from Asyst, including patents and trademarks, and will pay royalties based on net revenues for a period of five years.
  • 5The company will service Asyst's warranty obligations for WRC products sold before the transaction.
  • 6A transition services agreement is in place to facilitate business integration.
  • 7The filing includes forward-looking statements and cautions investors about potential risks that could affect actual results.

Frequently Asked Questions

The main purpose of this 8-K filing was to report Entegris's acquisition of the wafer and reticle carrier (WRC) product lines from Asyst Technologies, Inc., including key terms of the agreement and financing details.

The acquisition was financed with $38.75 million. Approximately $14 million was drawn from Entegris's revolving commitment facilities, and the remaining funds came from the company's available cash, cash equivalents, and short-term investments.

Entegris will pay royalties to Asyst based on net revenues generated from the sale of certain WRC products for a period of five years. Additionally, Entegris will service Asyst's warranty obligations for WRC products sold prior to the acquisition.

Yes, the filing explicitly states that it contains forward-looking statements and warns that actual results could differ materially from expectations due to various risks. Specific risks mentioned include potential reductions in expected net sales and gross margin, and changes in pro forma operating expenses. More details on these risks can be found in Entegris's other SEC filings like their Form 10-K and 10-Q.