Micron Prices $1.15 Billion Offering of 5.50% Senior Notes
July 23 2014 - 11:35PM
BOISE, Idaho, July 24, 2014 (GLOBE NEWSWIRE) --
Micron Technology, Inc., (Nasdaq:MU) today announced the pricing of
an offering of $1.15 billion aggregate principal amount of its
5.50% senior notes due 2025 (the "Notes"). The Notes are being
offered to qualified institutional buyers pursuant to Rule 144A
under the Securities Act of 1933, as amended (the "Securities
Act"), and outside the United States to non-U.S. persons pursuant
to Regulation S under the Securities Act. The sale of the Notes is
expected to close on July 28, 2014, subject to the satisfaction of
customary closing conditions. Interest on the Notes will accrue at
a rate of 5.50% per year, and will be payable in cash semi-annually
in arrears, beginning on February 1, 2015.
The Notes will mature on February 1, 2025, unless
earlier repurchased or redeemed. Holders may require Micron to
repurchase their Notes upon the occurrence of certain change of
control events at a repurchase price equal to 101% of the principal
amount thereof plus accrued and unpaid interest, if any.
Prior to August 1, 2019, Micron may redeem the
Notes, in whole or in part, at a price equal to 100% of the
principal amount thereof plus a "make-whole" premium and accrued
and unpaid interest, if any. On or after August 1, 2019, Micron may
redeem the Notes, in whole or in part, at specified prices that
decline over time, plus accrued and unpaid interest, if any. In
addition, Micron may use the net cash proceeds of one or more
equity offerings to redeem up to 35% of the aggregate principal
amount of the Notes prior to August 1, 2017 at a price equal to
105.50% of the principal amount thereof plus accrued and unpaid
interest, if any.
Micron intends to use a portion of the net
proceeds from this offering to extinguish its obligations with
respect to its 1.875% convertible senior notes due 2031 (the "2031B
Notes"), which may include payments in settlement of conversions of
or to repurchase or redeem such notes. Micron expects to use the
balance of the net proceeds for retirement of other convertible
notes and debt and other general corporate purposes. On July 23,
2014, Micron gave notice to holders of the 2031B Notes that their
notes will be redeemed on August 22, 2014, except to the extent
such notes are converted or repurchased by Micron prior to such
date, and its current intent is to settle any such conversions
entirely in cash with a portion of the proceeds from the
offering.
This announcement is neither an offer to sell nor
a solicitation to buy any of the foregoing securities, nor shall
there be any sale of the securities, in any jurisdiction in which
such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
jurisdiction.
The Notes will not be registered under the
Securities Act, or any state securities laws, and may not be
offered or sold in the United States except pursuant to an
exemption from the registration requirements of the Securities Act
and applicable state securities laws.
CONTACT: Kipp A. Bedard
Investor Relations
kbedard@micron.com
(208) 368-4465
Daniel Francisco
Media Relations
dfrancisco@micron.com
(208) 368-5584
This
announcement is distributed by NASDAQ OMX Corporate Solutions on
behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Micron Technology, Inc. via Globenewswire
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