Entegris, Inc. Announces Proposed Private Offering of Notes

About this update from Entegris, Inc.

[{"type":"text","content":" NEW YORK--(BUSINESS WIRE)--\nEntegris, Inc. (Nasdaq: ENTG) (“Entegris”) today announced that its wholly-owned subsidiary, Entegris Escrow Corporation (the “Escrow Issuer”), intends to offer senior secured notes due 2029, in each case subject to market and customary conditions.\n\nEntegris intends to use the net proceeds from the proposed offering, together with the borrowings under its previously announced senior unsecured bridge facility (or other sources of indebtedness) and senior secured first lien term loan B facility (the “term loan facility”) and cash on hand, to (a) finance a portion of the cash consideration for the previously announced merger (the “Merger”) with CMC Materials, Inc. (“CMC”), (b) pay the fees and expenses related to the Merger, the offering, the term loan facility and its bridge facility, (c) refinance certain existing indebtedness of CMC and Entegris and (d) in the case of the term loan facility, finance working capital and general corporate purposes of Entegris.\n\nThe gross proceeds of the notes, together with certain additional amounts, will be deposited into a separate escrow account for the notes until the consummation of the Merger. The notes will initially be the senior secured obligations of the Escrow Issuer, secured only by the amounts deposited in the applicable escrow account. Upon consummation of the Merger, the Escrow Issuer will merge with and into Entegris, with Entegris continuing as the surviving entity and assuming all of the Escrow Issuer's obligations under the notes. Following such merger and assumption, the notes will be guaranteed by each of Entegris’ and CMC’s existing and future domestic subsidiaries, other than certain excluded subsidiaries, to the extent that such entities guarantee the term loan facility or Entegris’ outstanding senior unsecured notes or certain other indebtedness. The secured notes and related guarantees will also be secured, subject to permitted liens and certain other exceptions, by first priority liens on the same collateral that secures the obligations under the term loan facility.\n\nThe notes and the related guarantees have not been, and will not be, registered under the Securities Act of 1933, as amended (the “Securities Act”), or any applicable state or foreign securities laws, and will be offered only to qualified institutional buyers in reliance ...

More updates from Entegris, Inc.