Message #4 From:
NewsBot Date: December 19, 2006 10:09:00 AM
AQR News Acquicor Technology Inc. Closes $145.0 Million Private Offering of Convertible Senior Notes
NEWPORT BEACH, Calif.--(BUSINESS WIRE)--Acquicor Technology Inc. (AMEX:AQR), announced today the closing of a
private placement of $145.0 million of its 8% convertible senior notes
due 2011 to qualified institutional buyers pursuant to Rule 144A under
the Securities Act of 1933 (the “Securities Act”).
In addition, Acquicor Technology Inc. has granted the initial purchasers
a 45-day option to buy up to an additional $21.75 million of the notes.
The notes are convertible into shares of the company’s
common stock at an initial conversion rate of 136.426 shares per $1,000
principal amount of notes, subject to adjustment in certain
circumstances, which is equivalent to an initial conversion price of
$7.33 per share. Pending completion of the merger of its wholly-owned
subsidiary with and into Jazz Semiconductor, Inc., the gross proceeds of
the offering will be placed into an escrow account. If the conditions to
the release of the escrow proceeds are met, including the approval of
the merger by the company’s stockholders, the
net proceeds would be released to Acquicor to fund the merger
consideration and for general corporate purposes. Unless the merger is
not approved by the company’s stockholders,
the notes will bear interest at a rate of 8% per annum and will be
payable semi-annually on each June 30 and December 31, with the first
payment due on June 30, 2007.
This announcement is neither an offer to sell nor a solicitation to buy
any of these notes and shall not constitute an offer, solicitation or
sale in any jurisdiction in which such offer, solicitation or sale is
unlawful.
The notes being offered and the common stock issuable upon exchange of
the notes have not been registered under the Securities Act, or any
state securities laws, and may not be offered or sold in the United
States, absent registration under, or an applicable exemption from, the
registration requirements of the Securities Act and applicable state
securities laws.
