STOCK TITAN

Amphenol Corporation Announces Pricing of Senior Notes Offering

Rhea-AI Impact
(Low)
Rhea-AI Sentiment
(Neutral)
Tags

Amphenol (NYSE: APH) has announced the pricing of its senior notes offering, totaling $1.5 billion across three tranches: $250 million due 2027 at 5.050%, $750 million due 2035 at 5.000%, and $500 million due 2054 at 5.375%. The 2027 Notes are an extension of existing notes issued in April 2024. The offering is expected to close on October 31, 2024. The proceeds will primarily fund the acquisition of CommScope's mobile networks businesses, specifically their Outdoor Wireless Networks and Distributed Antenna Systems divisions. The 2035 and 2054 Notes include a special mandatory redemption clause if the CommScope acquisition fails to complete.

Amphenol (NYSE: APH) ha annunciato il prezzo della sua offerta di note senior, per un totale di 1,5 miliardi di dollari suddivisi in tre tranche: 250 milioni di dollari in scadenza nel 2027 a un tasso del 5,050%, 750 milioni di dollari in scadenza nel 2035 a un tasso del 5,000% e 500 milioni di dollari in scadenza nel 2054 a un tasso del 5,375%. Le Note del 2027 rappresentano un'estensione di note esistenti emesse ad aprile 2024. Si prevede che l'offerta si chiuda il 31 ottobre 2024. I proventi verranno utilizzati principalmente per finanziare l'acquisizione delle attività di reti mobili di CommScope, in particolare le loro divisioni Outdoor Wireless Networks e Distributed Antenna Systems. Le Note del 2035 e del 2054 includono una clausola di riscatto obbligatorio speciale nel caso in cui l'acquisizione di CommScope non si completi.

Amphenol (NYSE: APH) ha anunciado el precio de su oferta de notas senior, que totaliza 1.5 mil millones de dólares en tres tramos: 250 millones de dólares con vencimiento en 2027 a un interés del 5.050%, 750 millones de dólares con vencimiento en 2035 a un interés del 5.000% y 500 millones de dólares con vencimiento en 2054 a un interés del 5.375%. Las Notas de 2027 son una extensión de notas existentes emitidas en abril de 2024. Se espera que la oferta se cierre el 31 de octubre de 2024. Los ingresos se destinarán principalmente a financiar la adquisición de los negocios de redes móviles de CommScope, específicamente sus divisiones de Redes Inalámbricas al Aire Libre y Sistemas de Antenas Distribuidas. Las Notas de 2035 y 2054 incluyen una cláusula de redención obligatoria especial si la adquisición de CommScope no se concretara.

암페노홀 (NYSE: APH)15억 달러 규모의 시니어 노트 공모가 가격을 발표했습니다. 이 노트는 세 개의 트랜치로 나뉘어 있으며: 2027년 만기 2억 5천만 달러 노트는 이자율 5.050%, 2035년 만기 7억 5천만 달러 노트는 이자율 5.000%, 2054년 만기 5억 달러 노트는 5.375%의 이자율을 갖습니다. 2027년도 노트는 2024년 4월에 발행된 기존 노트의 연장판입니다. 이번 공모는 2024년 10월 31일에 마감될 예정입니다. 수익금은 주로 CommScope의 이동통신 네트워크 사업을 인수하는 데 사용될 예정이며, 특히 야외 무선 네트워크와 분산 안테나 시스템 부문에 해당합니다. 2035년 및 2054년 노트에는 CommScope 인수가 완료되지 않을 경우를 대비한 특별 강제 상환 조항이 포함되어 있습니다.

Amphenol (NYSE: APH) a annoncé le prix de son émission de notes senior, totalisant 1,5 milliard de dollars répartis en trois tranches : 250 millions de dollars arrivant à échéance en 2027 à un taux de 5,050 %, 750 millions de dollars à échéance en 2035 à un taux de 5,000 %, et 500 millions de dollars à échéance en 2054 à un taux de 5,375 %. Les Notes de 2027 sont une extension des notes existantes émises en avril 2024. La clôture de l'offre est attendue le 31 octobre 2024. Les produits de cette émission serviront principalement à financer l'acquisition des activités de réseaux mobiles de CommScope, en particulier leurs divisions de Réseaux sans fil extérieurs et de Systèmes d'antennes distribuées. Les Notes de 2035 et de 2054 incluent une clause de rachat obligatoire spéciale si l'acquisition de CommScope n'est pas finalisée.

Amphenol (NYSE: APH) hat den Preis seiner Emission von Senior Notes bekannt gegeben, die insgesamt 1,5 Milliarden US-Dollar in drei Tranchen umfassen: 250 Millionen Dollar, fällig 2027 mit 5,050%, 750 Millionen Dollar, fällig 2035 mit 5,000% und 500 Millionen Dollar, fällig 2054 mit 5,375%. Die 2027-Diagramme sind eine Erweiterung bestehender Notes, die im April 2024 ausgegeben wurden. Es wird erwartet, dass das Angebot am 31. Oktober 2024 schließt. Die Einnahmen sollen hauptsächlich zur Finanzierung der Mobilfunknetzgeschäfte von CommScope verwendet werden, insbesondere ihrer Bereiche Outdoor Wireless Networks und Distributed Antenna Systems. Die 2035- und 2054-Notes enthalten eine spezielle obligatorische Rückzahlungsregelung, falls die CommScope-Akquisition nicht abgeschlossen wird.

Positive
  • Successful pricing of $1.5 billion senior notes offering across multiple tranches
  • Strategic acquisition of CommScope's mobile networks businesses to expand market presence
  • Diversified debt maturity profile with notes ranging from 2027 to 2054
Negative
  • Increased debt load with $1.5 billion in new senior notes
  • Higher interest expense with rates ranging from 5.000% to 5.375%

Insights

This $1.5 billion senior notes offering represents a significant debt financing move by Amphenol to fund its strategic acquisition of CommScope's mobile networks businesses. The notes are structured across three tranches with competitive interest rates (5.050%, 5.000% and 5.375%) and varying maturities (2027, 2035 and 2054), demonstrating strong market confidence in Amphenol's credit quality.

The special mandatory redemption provision for the 2035 and 2054 notes at 101% of principal provides investor protection if the CommScope acquisition falls through. This debt issuance aligns with Amphenol's growth strategy while maintaining financial flexibility, as evidenced by the potential alternative use of proceeds for refinancing existing 2.050% notes due 2025 if needed.

WALLINGFORD, Conn.--(BUSINESS WIRE)-- Amphenol Corporation (NYSE: APH) announced today the pricing of its offering of $250 million aggregate principal amount of senior notes due 2027 (the “Additional 2027 Notes”), $750 million aggregate principal amount of senior notes due 2035 (the “2035 Notes”) and $500 million aggregate principal amount of senior notes due 2054 (the “2054 Notes”, and together with the Additional 2027 Notes and 2035 Notes, the “Notes”). The Additional 2027 Notes will have an interest rate of 5.050% per annum, the 2035 Notes will have an interest rate of 5.000% per annum, and the 2054 Notes will have an interest rate of 5.375% per annum. The Additional 2027 Notes constitute a further issuance of the Company’s 5.050% senior notes due 2027, of which $450,000,000 aggregate principal amount was issued on April 5, 2024 (the “Existing 2027 Notes”) and will form a single series with, and have the same terms (other than the issue date, the issue price and the first interest payment date) as the Existing 2027 Notes. Upon settlement, the Additional 2027 Notes will have the same CUSIP number and will trade interchangeably with the Existing 2027 Notes. The closing of the offering is expected to occur on October 31, 2024, subject to the satisfaction of customary closing conditions.

The Company intends to use the net proceeds from the offering, together with cash on hand, to pay the cash consideration for the Company’s pending acquisition of CommScope’s (NASDAQ: COMM) mobile networks businesses, specifically CommScope’s Outdoor Wireless Networks and Distributed Antenna Systems businesses (the “CommScope Acquisition”) and the payment of fees and expenses related to the CommScope Acquisition, and, to the extent the CommScope Acquisition does not close (after giving effect to a special mandatory redemption of the 2035 Notes and the 2054 Notes as described below), for general corporate purposes, including, but not limited to, the repayment of the Company’s outstanding 2.050% senior notes due 2025 at maturity.

The 2035 Notes and the 2054 Notes are expected to be subject to a special mandatory redemption (at a price equal to 101% of the principal amount of the 2035 Notes and the 2054 Notes, plus accrued and unpaid interest from the date of initial issuance, or the most recent date to which interest has been paid or provided for, whichever is later, to, but not including, the special mandatory redemption date) under certain circumstances if the CommScope Acquisition is not consummated or is not consummated by an agreed upon date. The Additional 2027 Notes are not subject to a special mandatory redemption.

Barclays Capital Inc., BNP Paribas Securities Corp., BofA Securities, Inc. and HSBC Securities (USA) Inc. are serving as the joint book-running managers for the offering of each series of the Notes.

Each series of the Notes are being offered pursuant to the Company’s effective shelf registration statement on file with the Securities and Exchange Commission (the “SEC”). A prospectus supplement describing the terms of this offering will be filed with the SEC. Copies of the prospectus supplement and accompanying prospectus for the offering may be obtained from Barclays Capital Inc. toll-free at 1-888-603-5847, BNP Paribas Securities Corp. toll-free at 1-800-854-5674, BofA Securities, Inc. toll-free at 1-800-294-1322 and HSBC Securities (USA) Inc. toll-free at 1-866-811-8049.

This press release does not constitute an offer to sell or the solicitation of an offer to buy any series of the Notes, nor will there be any sale of any series of the Notes, in any jurisdiction in which such offer, solicitation or sale would be unlawful. Any offer, solicitation or sale of any series of the Notes will be made only by means of the prospectus supplement and the accompanying prospectus.

About Amphenol

Amphenol Corporation is one of the world’s largest designers, manufacturers and marketers of electrical, electronic and fiber optic connectors and interconnect systems, antennas, sensors and sensor-based products and coaxial and high-speed specialty cable. Amphenol designs, manufactures and assembles its products at facilities in approximately 40 countries around the world and sells its products through its own global sales force, independent representatives and a global network of electronics distributors. Amphenol has a diversified presence as a leader in high-growth areas of the interconnect market including: Automotive, Broadband Communications, Commercial Aerospace, Defense, Industrial, Information Technology and Data Communications, Mobile Devices and Mobile Networks. For more information, visit www.amphenol.com.

Forward-Looking Statements

Statements in this press release which are other than historical facts are intended to be “forward-looking statements” within the meaning of the Securities Exchange Act of 1934, as amended, the Private Securities Litigation Reform Act of 1995 and other related laws. While the Company believes such statements are reasonable, the actual results and effects could differ materially from those currently anticipated. Details regarding various significant risks and uncertainties that may affect our operating and financial performance can be found in the Company’s latest Annual Report on Form 10-K and the Company’s subsequent filings with the Securities and Exchange Commission, including Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. In providing forward-looking statements, the Company is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise, except as required by law.

Sherri Scribner

Vice President, Strategy and Investor Relations

203-265-8820

IR@amphenol.com

Source: Amphenol Corporation

FAQ

What is the total value of Amphenol's (APH) senior notes offering announced in 2024?

Amphenol's (APH) senior notes offering totals $1.5 billion, comprising $250 million due 2027, $750 million due 2035, and $500 million due 2054.

What are the interest rates for Amphenol's (APH) new senior notes?

The interest rates are 5.050% for the 2027 Notes, 5.000% for the 2035 Notes, and 5.375% for the 2054 Notes.

What is the purpose of Amphenol's (APH) senior notes offering?

The proceeds will primarily fund the acquisition of CommScope's mobile networks businesses, specifically their Outdoor Wireless Networks and Distributed Antenna Systems divisions.

CommScope Holding Company, Inc.

NASDAQ:COMM

COMM Rankings

COMM Latest News

COMM Stock Data

989.93M
207.95M
3%
79.85%
3.55%
Communication Equipment
Radio & Tv Broadcasting & Communications Equipment
Link
United States of America
CLAREMONT