GT Advanced Technologies announces USD 175bn convertible notes offering

Sep 24, 2012 - US solar equipment maker GT Advanced Technologies (NASDAQ:GTAT) said Monday it would issue up to USD 175 million (EUR 136m) worth of convertible senior notes with maturity in 2017.

Proceeds from the public offering will be used for general corporate purposes, including acquisitions, debt repayment and refinancing, working capital and capital expenditures.

GT Advanced Technologies plans to grant the underwriters an option to buy up to an additional USD 26.25 million aggregate principal amount of notes to cover potential overallotments.

The interest on the notes will be paid semiannually and they can be converted into cash, shares of the company's common stock, or a combination of both under certain circumstances. The notes will mature on October 1, 2017 and the company will not be allowed to redeem them prior to maturity.

As part of the offering, GT Advanced Technologies would enter into one or more privately negotiated convertible note hedge transactions aimed at limiting the potential dilution to the company's common stock and/or preventing potential cash payments that would exceed the principal amount of notes upon conversion.

UBS Investment Bank, BofA Merrill Lynch and Credit Suisse have been appointed as joint book-running managers for the offering.

(USD 1 = EUR 0.775)

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