Astronics Corporation intends to offer $210.0 million aggregate principal amount of convertible senior notes due 2031 in a private offering.
The offering includes an option for initial purchasers to buy up to an additional $15.0 million in notes within a 13-day period.
Proceeds will be used for refinancing outstanding 2030 notes and purchasing capped calls to offset share dilution.
Private Offering
$210.0 million convertible senior notes due 2031 offered to qualified institutional buyers.
Capped Calls
Intended to offset dilution, covering the number of shares underlying the Notes.
Net Proceeds
To pay for capped call transactions, repurchase 2030 notes, and use for general corporate purposes.
- The offering signifies Astronics' strategic move to manage its debt structure and potential dilution.
- Capped call transactions aim to protect Astronics' common stock value during conversions of the Notes.
- Proceeds distribution demonstrates a focused approach towards refinancing and strengthening the company's financial position.
Astronics Corporation's announcement of the convertible senior notes offering reflects a proactive financial strategy aimed at optimizing capital structure and mitigating dilution risks in the market.