Semtech calls 4½% convertibles

New York, June 18 - Semtech Corp. said it is calling for redemption its $165 million 4½% convertible subordinated notes due 2007.

The Camarillo, Calif. supplier of analog and mixed-signal semiconductors said it will redeem the notes on July 18 at $1,025.71 per $1,000 principal amount of notes, plus accrued interest through July 17.

Holders may convert the notes into Semtech stock at a price of $42.23 per share up to 5.00 p.m. ET on July 17. Semtech stock closed at $15.24 on Wednesday.

Semtech noted that since it issued the notes it has generated over $210.0 million in operating cash flow and will have $250.0 million in cash and investments and no long-term debt after the retirement of the notes.

Cypress to redeem $70 million 3.75% convertibles

New York, June 18 - Cypress Semiconductor Corp. said it will redeem $70 million of its 3.75% convertible subordinated notes due 2005 on July 8.

The San Jose, Calif. chipmaker will pay a total of $1,010.104 per $1,000 principal amount, made up of the redemption price of $1,009.375 plus $0.729 of accrued interest up to buy not including July 8.

Redemptions will be made pro rata.

Up to 5.00 p.m. ET on July 7, holders may convert the notes into stock at a price of $62.548 per share. Cypress stock closed at $11.86 on Tuesday.

Cypress said it had $138.7 million of the convertibles outstanding before the redemption following repurchases of $101.6 million in the second fiscal quarter of 2002 and $47.2 million in the second fiscal quarter of 2003.

After the redemption it will have $70.65 million outstanding.

Cypress previously announced the full redemption of its 4% convertible subordinated notes due 2005.

Alkermes to automatically convert 6.52% notes

New York, June 18 - Alkermes, Inc. said it will exercise its right to automatically convert all its outstanding 6.52% convertible senior subordinated notes due Dec. 31, 2009.

Alkermes said it has the right to convert the notes because the closing price of its stock has exceeded 150% of the $7.682 conversion price of the notes for 20 out of the 30 trading days ending Wednesday.

The conversion will occur on July 18. The notes will convert into 130.1744 shares.

Because the conversion is before Dec. 31, 2004, the Cambridge, Mass. pharmaceutical company will also pay 1.5 years of interest on the notes.

© 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.