Adeia Successfully Completes Second Debt Repricing in Past 8 Months
Adeia Inc. (ADEA) has successfully completed its second debt repricing in the past 8 months, reducing the interest rate on its Term Loan B by 50 basis points. The new interest rate is set at SOFR + 250 basis points, applicable to the remaining balance of approximately $487.1 million. This repricing will result in annual cash interest savings of about $2.4 million.
The company has maintained the original June 2028 maturity date, with all other terms remaining substantially unchanged. Since becoming an independent company in October 2022, Adeia has paid down $272.3 million on its Term Loan B, demonstrating its commitment to strengthening its balance sheet and reducing interest expenses through accelerated debt repayments.
Adeia Inc. (ADEA) ha completato con successo la sua seconda ristrutturazione del debito negli ultimi 8 mesi, riducendo il tasso d'interesse sul suo Term Loan B di 50 punti base. Il nuovo tasso d'interesse è fissato a SOFR + 250 punti base, applicabile al saldo residuo di circa 487,1 milioni di dollari. Questa ristrutturazione porterà a un risparmio annuale in interessi in contante di circa 2,4 milioni di dollari.
L'azienda ha mantenuto la data di scadenza originale fissata per giugno 2028, con tutte le altre condizioni che rimangono sostanzialmente invariate. Da quando è diventata un'azienda indipendente nel mese di ottobre 2022, Adeia ha ridotto 272,3 milioni di dollari sul suo Term Loan B, dimostrando il suo impegno a rafforzare il proprio bilancio e ridurre le spese per interessi attraverso rimborsi accelerati del debito.
Adeia Inc. (ADEA) ha completado exitosamente su segunda reestructuración de deuda en los últimos 8 meses, reduciendo la tasa de interés de su Préstamo a Plazo B en 50 puntos base. La nueva tasa de interés se establece en SOFR + 250 puntos base, aplicable al saldo restante de aproximadamente $487.1 millones. Esta reestructuración resultará en ahorros anuales de intereses en efectivo de aproximadamente $2.4 millones.
La compañía ha mantenido la fecha de vencimiento original de junio de 2028, con todos los demás términos permaneciendo sustancialmente sin cambios. Desde que se convirtió en una empresa independiente en octubre de 2022, Adeia ha pagado $272.3 millones de su Préstamo a Plazo B, demostrando su compromiso de fortalecer su balance y reducir los gastos por intereses a través de pagos acelerados de deuda.
Adeia Inc. (ADEA)는 지난 8개월 동안 두 번째 부채 재조정을 성공적으로 완료하고, Term Loan B의 이자율을 50베이시스 포인트 인하하였습니다. 새로운 이자율은 SOFR + 250베이시스 포인트로 설정되며, 약 4억 8,710만 달러의 잔여 잔액에 적용됩니다. 이번 재조정으로 연간 현금 이자 절감액은 약 240만 달러에 이를 것입니다.
회사는 원래의 2028년 6월 만기일을 유지했으며, 기타 모든 조건은 실질적으로 변경되지 않았습니다. 2022년 10월 독립 기업으로 전환한 이후, Adeia는 Term Loan B에서 2억 7,230만 달러를 상환하여, 재무 상태 강화를 위한 의지와 이자 비용 절감을 위한 가속화된 부채 상환을 보여주고 있습니다.
Adeia Inc. (ADEA) a terminé avec succès son deuxième réajustement de dette au cours des 8 derniers mois, réduisant le taux d'intérêt de son Prêt à Terme B de 50 points de base. Le nouveau taux d'intérêt est fixé à SOFR + 250 points de base, applicable au solde restant d'environ 487,1 millions de dollars. Ce réajustement entraînera des économies annuelles de trésorerie d'intérêts d'environ 2,4 millions de dollars.
L'entreprise a maintenu la date d'échéance originale de juin 2028, toutes les autres conditions restant largement inchangées. Depuis qu'elle est devenue une entreprise indépendante en octobre 2022, Adeia a remboursé 272,3 millions de dollars de son Prêt à Terme B, démontrant son engagement à renforcer son bilan et à réduire les frais d'intérêts par le biais de remboursements de dettes accélérés.
Adeia Inc. (ADEA) hat erfolgreich die zweite Umschuldung seiner Schulden innerhalb der letzten 8 Monate abgeschlossen und den Zinssatz für sein Term Loan B um 50 Basispunkte gesenkt. Der neue Zinssatz ist auf SOFR + 250 Basispunkte festgelegt, der auf den verbleibenden Saldo von ca. 487,1 Millionen Dollar anwendbar ist. Diese Umschuldung wird zu jährlichen Zinsersparnissen in bar von etwa 2,4 Millionen Dollar führen.
Das Unternehmen hat das ursprüngliche Fälligkeitsdatum im Juni 2028 beibehalten, wobei alle anderen Bedingungen weitgehend unverändert bleiben. Seitdem es im Oktober 2022 ein unabhängiges Unternehmen wurde, hat Adeia 272,3 Millionen Dollar seines Term Loan B getilgt und damit sein Engagement zum Ausdruck gebracht, seine Bilanz zu stärken und die Zinsaufwendungen durch beschleunigte Schuldenrückzahlungen zu senken.
- Achieved 50 basis points reduction in interest rate
- Will save $2.4 million in annual interest expenses
- Has paid down $272.3 million on Term Loan B since October 2022
- Still carries significant debt of $487.1 million
Insights
This debt repricing initiative demonstrates sophisticated financial engineering that will positively impact Adeia's bottom line. The
The timing of this repricing is strategically sound, capitalizing on favorable market conditions before potential market shifts. What's particularly impressive is the company's dual-track approach: aggressively paying down debt (
The new SOFR + 250 basis points rate reflects strong creditor confidence in Adeia's cash generation capabilities. This becomes evident when considering that the company has maintained its original June 2028 maturity date while securing better terms. The unchanged maturity suggests lenders view Adeia's long-term prospects favorably, as they're willing to accept lower returns without demanding accelerated repayment.
Repricing further lowers interest rate by 50 basis points, reducing annual interest expense by approximately
SAN JOSE, Calif., Jan. 30, 2025 (GLOBE NEWSWIRE) -- Adeia Inc. (Nasdaq: ADEA), the company whose patented innovations enhance billions of devices and shape the way the world explores and experiences entertainment, today announced the successful repricing of its Term Loan B, thereby reducing its future interest expense. The repricing lowers the applicable fixed interest rate by 50 basis points on the company’s Term Loan B remaining balance of approximately
“One of our top priorities has been to strengthen our balance sheet and lower our interest expense through accelerated debt repayments,” said Keith A. Jones, chief financial officer of Adeia. “Since we began operating as an independent company in October of 2022, we have paid down
About Adeia Inc.
Adeia is a leading R&D and intellectual property (IP) licensing company that accelerates the adoption of innovative technologies in the media and semiconductor industries. Adeia’s fundamental innovations underpin technology solutions that are shaping and elevating the future of digital entertainment and electronics. Adeia’s IP portfolios power the connected devices that touch the lives of millions of people around the world every day as they live, work and play. For more, please visit www.adeia.com.
Safe Harbor Statement
This press release contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are based on information available to the Company as of the date hereof, as well as the Company’s current expectations, assumptions, estimates and projections that involve risks and uncertainties. In this context, forward-looking statements often address expected future business, financial performance and financial condition, and often contain words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “could,” “seek,” “see,” “will,” “may,” “would,” “might,” “potentially,” “estimate,” “continue,” “target,” similar expressions or the negatives of these words or other comparable terminology that convey uncertainty of future events or outcomes. All forward-looking statements by their nature address matters that involve risks and uncertainties, many of which are beyond the Company’s control, and are not guarantees of future results. Forward-looking statements are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statements. Accordingly, there are or will be important factors that could cause actual results to differ materially from those indicated in such statements and, therefore, you should not place undue reliance on any such statements and caution must be exercised in relying on forward-looking statements. Important risk factors that may cause such a difference include, but are not limited to: the Company’s ability to implement its business strategy; the Company’s ability to enter into new and renewal license agreements with customers on favorable terms; the Company’s ability to retain and hire key personnel; uncertainty as to the long-term value of the Company’s common stock; legislative, regulatory and economic developments affecting the Company’s business; general economic and market developments and conditions; the Company’s ability to grow and expand its patent portfolios; changes in technology and development of new technology in the industries in which in which the Company operates; the evolving legal, regulatory and tax regimes under which the Company operates; unforeseen liabilities and expenses; risks associated with the Company’s indebtedness; the Company’s ability to achieve the intended benefits of, and its ability to recognize the anticipated tax treatment of, the spin-off of its product business; unpredictability and severity of catastrophic events, including, but not limited to, acts of terrorism or outbreak of war or hostilities, natural disasters and future outbreaks or pandemics, each of which may have an adverse impact on the Company’s business, results of operations, and financial condition. These risks, as well as other risks associated with the Company’s business, are more fully discussed in the Company’s filings with the U.S. Securities and Exchange Commission (“SEC”), including the Company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. While the list of factors presented here is, and the list of factors presented in the Company’s filings with the SEC are, considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties. Unlisted factors may present significant additional obstacles to the realization of forward-looking statements.
Causes of material differences in results as compared with those anticipated in the forward-looking statements could include, among other things, business disruption, operational problems, failure to complete licensing arrangements on anticipated terms and timeline, failure to prevail in litigation we may bring against third parties, financial loss, legal liability to third parties and similar risks, any of which could have a material adverse effect on the Company’s consolidated financial condition, results of operations, liquidity or trading price of common stock. The Company does not assume any obligation to publicly provide revisions or updates to any forward-looking statements, whether as a result of new information, future developments or otherwise, should circumstances change, except as otherwise required by securities and other applicable laws.
Investor Contact:
Chris Chaney
Vice President, Investor Relations
IR@adeia.com
FAQ
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