MILPITAS, Calif., Feb. 19, 2020 /PRNewswire/ -- KLA Corporation
(NASDAQ: KLAC) today announced it has entered into a firm
commitment underwriting agreement on Feb.
19, 2020 to sell $750 million
aggregate principal amount of its 3.300% Senior Notes due 2050 (the
"notes") under an automatic shelf registration statement on file
with the Securities and Exchange Commission (the "SEC"). The
offering is expected to settle on Feb. 28,
2020, subject to customary closing conditions.
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The notes will bear interest at a rate of 3.300% per year.
Interest on the notes will be payable semi-annually on Mar. 1 and Sept. 1
of each year, commencing on Sept. 1,
2020.
KLA estimates that the net proceeds from the sale of the notes
will be approximately $741.2 million
after deducting the estimated underwriting discounts and estimated
offering expenses. KLA intends to use approximately $523.8 million of the net proceeds of this
offering to redeem $500.0 million in
aggregate principal amount of its 4.125% senior notes due 2021, and
the remaining net proceeds for general corporate purposes, which
may include repayment of amounts outstanding under KLA's credit
agreement.
Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Wells
Fargo Securities, LLC, BofA Securities, Inc., MUFG Securities
Americas Inc., and SunTrust Robinson Humphrey, Inc. are acting as
joint book-running managers of the offering.
KLA has filed an effective registration statement (including a
preliminary prospectus supplement and accompanying base prospectus)
with the SEC for the offering to which this communication relates.
Before you invest, you should read the effective registration
statement (including the preliminary prospectus supplement and
accompanying base prospectus) for more complete information about
KLA and this offering. You may obtain copies of these documents
free of charge by visiting EDGAR on the SEC website at www.sec.gov.
Alternatively, copies may be obtained from Citigroup Global Markets
Inc. at: Citigroup Global Markets Inc., c/o Broadridge Financial
Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, Telephone: (800) 831-9146;
prospectus@citi.com, J.P. Morgan Securities LLC at: 383 Madison
Avenue, New York, NY 10179, Attn:
Investment Grade Syndicate Desk-3rd Floor or by calling collect at
(212) 834-4533, Wells Fargo Securities, LLC at: 608 2nd Avenue
South, Suite 1000, Minneapolis, MN
55402, Attn: WFS Customer Service, Email:
wfscustomerservice@wellsfargo.com, Toll-Free: 1-800-645-3751, BofA
Securities, Inc. at: 200 North College Street, 3rd Floor,
Charlotte, NC 28255, Attn:
Prospectus Department, Email: dg.prospectus_requests@bofa.com,
Toll-Free: 1-800-294-1322, MUFG Securities Americas Inc. at: 1221
Avenue of the Americas, 6th Floor, New
York, NY 10020, Attn: Capital Markets Group, Phone:
877-649-6848, or SunTrust Robinson Humphrey, Inc. at: 303 Peachtree
Street, Atlanta, GA 30308, Email:
STRHdocs@SunTrust.com, Phone: 800-685-4786.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities, nor shall there be
any sale of these 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.
Forward-Looking Statements:
Statements in this press release other than historical facts, such
as statements regarding KLA's anticipated use of proceeds from this
offering, are forward-looking statements, and are subject to the
Safe Harbor provisions created by the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are based on
current information and expectations and involve a number of risks
and uncertainties. Actual results may differ materially from those
projected in such statements due to various factors, including but
not limited to those identified in KLA's Quarterly Report on Form
10-Q for the quarter ended Dec. 31,
2019, and other filings with the SEC (including, but not
limited to, the risk factors described therein). KLA assumes no
obligation to, and does not currently intend to, update these
forward-looking statements.
About KLA:
KLA develops industry-leading equipment and services that enable
innovation throughout the electronics industry. We provide advanced
process control and process-enabling solutions for manufacturing
wafers and reticles, integrated circuits, packaging, printed
circuit boards and flat panel displays. In close collaboration with
leading customers across the globe, our expert teams of physicists,
engineers, data scientists and problem-solvers design solutions
that move the world forward. Additional information may be found at
www.kla.com (KLAC-F).
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SOURCE KLA Corporation