Summary
Entegris, Inc. (ENTG) filed an 8-K on April 4, 2022, primarily to disclose information related to a "Notes Offering" and to furnish pro forma financial statements concerning its pending merger with CMC Materials, Inc. The company announced its intention to offer senior secured notes due 2029. The net proceeds from this offering, combined with existing credit facilities, are earmarked for financing a portion of the cash consideration for the CMC Materials merger, covering associated fees and expenses, and refinancing existing indebtedness of both companies. The notes will initially be secured by funds held in escrow and, upon the merger's completion, will become senior secured obligations of Entegris, guaranteed by certain subsidiaries and secured by collateral shared with the company's term loan facility.
Key Highlights
- 1Entegris announced an offering of Senior Secured Notes due 2029.
- 2Proceeds from the Notes Offering will be used to fund the CMC Materials merger, related expenses, and refinance existing debt.
- 3The Notes Offering is part of the financing strategy for the acquisition of CMC Materials.
- 4The notes will initially be secured by escrowed funds and will transition to being secured by Entegris' assets post-merger.
- 5The filing includes unaudited pro forma condensed combined financial statements for Entegris and CMC Materials for the year ended December 31, 2021, reflecting the anticipated merger's impact.
- 6Information regarding the Notes Offering was disclosed to prospective investors, as detailed in Exhibit 99.1.