Freescale Semiconductor to pay down notes, revolver with IPO proceeds

By Angela McDaniels

Tacoma, Wash., Feb. 11 - Freescale Semiconductor, Inc. plans to repay all of its revolving credit facility borrowings and a portion of its notes, according to an S-1 filing with the Securities and Exchange Commission.

The debt repayment will be funded with the proceeds from parent company Semiconductor Holdings I, Ltd.'s initial public offering of stock.

The company's notes include floating-rate senior notes due 2014, 9 1/8%/9 7/8% senior PIK-election notes due 2014, 8 7/8% senior notes due 2014, 10 1/8% senior subordinated notes due 2016, 10 1/8% senior secured notes due 2018, 9¼% senior secured notes due 2018 and 10¾% senior notes due 2020.

Which series of notes to repay, the amounts to be repaid within a particular series, the timing of repayment and the method used to make the repayment - which could include redemptions, open-market purchases, privately negotiated transactions or tender offers - have not been determined and will depend on market conditions.

Freescale makes embedded processing semiconductors and is based in Austin, Texas.

© 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.