NXP Semiconductors Prices $1 Bln Of Cash Convertible Senior Notes

(RTTNews) - NXP Semiconductors N.V. (NXPI) said Tuesday that it has priced its private offering of $1 billion aggregate principal amount of 1.00% cash convertible senior notes due 2019.

The company has granted the initial purchasers of the Notes a 30-day option to purchase up to an additional $150 million aggregate principal amount of the Notes to cover over-allotments, if any.

The offering is expected to close on December 1.

NXP plans to use the net proceeds from the offering of the Notes to fund the cost of entering into the cash convertible note hedge transactions with certain hedge counterparties, to repay up to EURO225 million in respect of intercompany loans to its subsidiaries, to fund the repurchase of up to $250 million of its common stock, of which $150 million has been purchased from purchasers of the Notes in the offering in privately negotiated transactions through one of the initial purchasers or its affiliate conducted concurrently with the pricing of the Notes, and the balance of which is expected to be purchased in the open market after the pricing of the Notes and for general corporate purposes, including additional share repurchases and potential acquisitions.