- » View All
ATS Announces Launch of US$300 Million Senior Notes Offering to Fund Redemption of Outstanding 6.500% Senior Notes
ATS Automation Posted 12/14/2020
CAMBRIDGE, ON /CNW/ - ATS Automation Tooling Systems Inc. (TSX: ATA) ("ATS" or the "Company") today announces that it intends to offer US$300 million aggregate principal amount of Senior Notes due 2028 (the "Notes"). The interest rate and other terms of the Notes will be determined based on prevailing market conditions. ATS intends to use the net proceeds from the offering of the Notes to fund the redemption of its outstanding 6.500% Senior Notes due 2023 (the "Existing Notes"), and to use the remainder of the net proceeds for general corporate purposes.
[ATS Automation Tooling Systems (CNW Group/ATS Automation Tooling Systems Inc.) (CNW Group/ATS Automation Tooling Systems Inc.)]
Pursuant to the terms of the indenture governing the Existing Notes, ATS has issued a conditional notice of redemption to redeem the outstanding Existing Notes, which redemption will be conditional upon the successful completion of the offering of the Notes.
The Notes will be offered and sold in the United States only to persons reasonably believed to be qualified institutional buyers in accordance with Rule 144A under the United States Securities Act of 1933, as amended (the "Securities Act"), and outside the United States in reliance on Regulation S under the Securities Act. The Notes may be offered and sold in certain provinces of Canada on a private placement basis pursuant to certain prospectus exemptions.
The offer and sale of the Notes will not be registered under the Securities Act and the Notes may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws. This news release shall not constitute an offer to sell or the solicitation of an offer to buy the Notes, nor shall there be any offer or sale of the Notes in any jurisdiction in which such offer, solicitation or sale would be unlawful.
ATS is an industry-leading automation solutions provider to many of the world's most successful companies. ATS uses its extensive knowledge base and global capabilities in custom automation, repeat automation, automation products and value-added services, including pre-automation and after-sales services, to address the sophisticated manufacturing automation systems and service needs of multinational customers in markets such as life sciences, chemicals, consumer products, electronics, food, beverage, transportation, energy, and oil and gas. Founded in 1978, ATS employs approximately 4,200 people at 20 manufacturing facilities and over 50 offices in North America, Europe, Southeast Asia and China. The Company's shares are traded on the Toronto Stock Exchange under the symbol ATA.