Vishay Intertechnology Announces Amendment and Extension of $750 Million Credit Facility
May 08 2023 - 4:15PM
Vishay Intertechnology, Inc. (NYSE: VSH) (“Vishay” or the
“Company”) today announced that it has entered into an amendment
and restatement of its $750 million credit facility.
The amended and restated credit facility extends the maturity
date of the revolving credit agreement until May 8, 2028, replaces
the existing total leverage ratio used for financial covenant
compliance measurement with a net leverage ratio, and replaces the
LIBOR-based interest rate and related LIBOR-based mechanics
applicable to U.S. dollar borrowings under the revolving credit
agreement with an interest rate based on the Secured Overnight
Financing Rate ("SOFR") (including a customary spread adjustment)
and related SOFR-based mechanics.
The amended and restated credit facility also allows for
borrowings in euro, British sterling, and Japanese yen, subject to
a $250 million limit. Borrowings in foreign currency bear interest
at a local reference rate plus an interest margin. The applicable
interest margin is based on Vishay's total leverage ratio.
Based on Vishay's current total leverage ratio, borrowings bear
interest at SOFR plus 1.60%, including the applicable credit
spread. Vishay also pays a commitment fee, also based on its total
leverage ratio, on undrawn amounts. The undrawn commitment
fee, based on Vishay's current total leverage ratio, is 0.25% per
annum.
Lori Lipcaman, Vishay's Chief Financial Officer said, "The
amendment and extension of our credit facility provides us with
more than ample financial and operating flexibility to execute our
plans for growth."
JPMorgan Chase Bank, N.A. acted as administrative agent. JP
Morgan Chase Bank, N.A.; Comerica Bank; HSBC Bank USA, National
Association; UniCredit Bank AG; and TD Bank, N.A. served as joint
lead arrangers, joint bookrunners, and co-syndication agents.
Santander Bank, National Association and Bank of America, N.A.
functioned as co-documentation agents.
Forward-Looking Statements
All statements other than statements relating to present facts
or current conditions included in this release are forward-looking
statements within the safe harbor provisions of Private Securities
Litigation Reform Act of 1995. Words and expressions such as
“will,” “expect,” “anticipate,” “looking ahead” or other similar
words or expressions often identify forward-looking statements.
Such statements are based on current expectations only, and are
subject to certain risks, uncertainties and assumptions, many of
which are beyond our control. Should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove
incorrect, actual results, performance, or achievements may vary
materially from those anticipated, estimated or projected. Among
the factors that could cause actual results to materially differ
include: general business and economic conditions; manufacturing or
supply chain interruptions or changes in customer demand because of
COVID-19 or otherwise; delays or difficulties in implementing our
cost reduction strategies; delays or difficulties in expanding our
manufacturing capacities; an inability to attract and retain highly
qualified personnel; changes in foreign currency exchange rates;
uncertainty related to the effects of changes in foreign currency
exchange rates; competition and technological changes in our
industries; difficulties in new product development; difficulties
in identifying suitable acquisition candidates, consummating a
transaction on terms which we consider acceptable, and integration
and performance of acquired businesses; changes in U.S. and foreign
trade regulations and tariffs, and uncertainty regarding the same;
changes in applicable domestic and foreign tax regulations, and
uncertainty regarding the same; changes in applicable accounting
standards and other factors affecting our operations that are set
forth in our filings with the Securities and Exchange Commission,
including our annual reports on Form 10-K and our quarterly reports
on Form 10-Q. We undertake no obligation to publicly update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise.
About Vishay
Vishay manufactures one of the world’s largest portfolios of
discrete semiconductors and passive electronic components that are
essential to innovative designs in the automotive, industrial,
computing, consumer, telecommunications, military, aerospace, and
medical markets. Serving customers worldwide, Vishay is The
DNA of tech.™ Vishay Intertechnology, Inc. is a Fortune 1,000
Company listed on the NYSE (VSH). More on Vishay
at www.Vishay.com.
The DNA of tech™ is a
trademark of Vishay Intertechnology.
Contact:Vishay Intertechnology, Inc.Peter
HenriciExecutive Vice President, Corporate
Development+1-610-644-1300
Vishay Intertechnology (NYSE:VSH)
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