Summary
Entegris, Inc. (ENTG) filed an 8-K on April 19, 2021, to report on its offering and pricing of new senior unsecured notes. The company priced $400 million in aggregate principal amount of 3.625% senior notes due 2029. These notes are senior unsecured obligations, guaranteed by certain subsidiaries, and are expected to close by April 30, 2021. This debt issuance is primarily intended to finance the full redemption of $550 million of outstanding senior unsecured notes due 2026. Entegris plans to use the proceeds from the new 2029 Notes, along with cash on hand and borrowings from its revolving credit facility, to cover the redemption price and related expenses. This move signals a strategic refinancing effort by the company to manage its debt obligations.
Key Highlights
- 1Entegris priced a $400 million offering of 3.625% senior unsecured notes due 2029.
- 2The proceeds will be used to redeem $550 million of existing senior unsecured notes due 2026.
- 3The transaction includes the use of cash on hand and borrowings under the company's revolving credit facility.
- 4The offering was conducted as a private placement to qualified institutional buyers (Rule 144A) and non-U.S. persons (Regulation S).
- 5The closing of the 2029 Notes offering is expected on or about April 30, 2021, subject to customary conditions.
- 6The new notes are guaranteed by certain of Entegris's subsidiaries.