Business
Novanta Inc. Announces Offering of Tangible Equity Units
BOSTON--(BUSINESS WIRE)-- Novanta Inc. (Nasdaq: NOVT) ("Novanta" or the “Company”), a trusted technology partner to medical and advanced technology equipment
About this update from Novanta Inc.
[{"type":"text","content":" BOSTON--(BUSINESS WIRE)--\nNovanta Inc. (Nasdaq: NOVT) (\"Novanta\" or the “Company”), a trusted technology partner to medical and advanced technology equipment manufacturers, announced today that it has commenced a public offering of 11 million tangible equity units, with an aggregate stated amount of $550.0 million. Each tangible equity unit will have a stated amount of $50.00 and be comprised of a prepaid stock purchase contract and a senior amortizing note due 2028, each issued by Novanta. The tangible equity unit offering is a public offering made by means of a prospectus supplement under Novanta's effective shelf registration statement. Novanta's common shares are quoted on Nasdaq under the ticker symbol \"NOVT,\" and Novanta has applied to list the tangible equity units on Nasdaq under the symbol \"NOVTU.\"\n\nNovanta intends to grant the underwriters of the offering a 30-day option to purchase up to an additional 1,650,000 tangible equity units, solely to cover over-allotments, if any.\n\nNovanta expects to use the net proceeds from the offering to strengthen the balance sheet and enhance strategic flexibility, which may include funding working capital and potential future acquisitions and investments, as well as capital expenditures, share repurchases, and other general corporate purposes. Pending use of the net proceeds from the offering described above, Novanta intends to use a portion of the net proceeds to repay approximately $317 million of indebtedness under its revolving credit facility.\n\nJ.P. Morgan and BofA Securities are acting as joint book-running managers for the tangible equity unit offering. The offering of tangible equity units (including the component stock purchase contracts and senior amortizing notes) is being made pursuant to an effective shelf registration statement on Form S-3 filed with the Securities and Exchange Commission (the \"SEC\"). The offering may only be made by means of the prospectus supplement relating to such offering and the accompanying prospectus. Copies of the prospectus supplement for the offering and the accompanying prospectus can be obtained when available by contacting J.P. Morgan, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or by email at [email protected] and [email protected]; or BofA Securities NC1-...