MILPITAS, Calif., Feb. 19, 2020 /PRNewswire/ -- KLA Corporation (NASDAQ: KLAC) today announced it has entered into a firm commitment underwriting agreement on Feb. 19, 2020 to sell $750 million aggregate principal amount of its 3.300% Senior Notes due 2050 (the "notes") under an automatic shelf registration statement on file with the Securities and Exchange Commission (the "SEC"). The offering is expected to settle on Feb. 28, 2020, subject to customary closing conditions.

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The notes will bear interest at a rate of 3.300% per year. Interest on the notes will be payable semi-annually on Mar. 1 and Sept. 1 of each year, commencing on Sept. 1, 2020.

KLA estimates that the net proceeds from the sale of the notes will be approximately $741.2 million after deducting the estimated underwriting discounts and estimated offering expenses. KLA intends to use approximately $523.8 million of the net proceeds of this offering to redeem $500.0 million in aggregate principal amount of its 4.125% senior notes due 2021, and the remaining net proceeds for general corporate purposes, which may include repayment of amounts outstanding under KLA's credit agreement.

Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Wells Fargo Securities, LLC, BofA Securities, Inc., MUFG Securities Americas Inc., and SunTrust Robinson Humphrey, Inc. are acting as joint book-running managers of the offering.

KLA has filed an effective registration statement (including a preliminary prospectus supplement and accompanying base prospectus) with the SEC for the offering to which this communication relates. Before you invest, you should read the effective registration statement (including the preliminary prospectus supplement and accompanying base prospectus) for more complete information about KLA and this offering. You may obtain copies of these documents free of charge by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, copies may be obtained from Citigroup Global Markets Inc. at: Citigroup Global Markets Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, Telephone: (800) 831-9146; prospectus@citi.com, J.P. Morgan Securities LLC at: 383 Madison Avenue, New York, NY 10179, Attn: Investment Grade Syndicate Desk-3rd Floor or by calling collect at (212) 834-4533, Wells Fargo Securities, LLC at: 608 2nd Avenue South, Suite 1000, Minneapolis, MN 55402, Attn: WFS Customer Service, Email: wfscustomerservice@wellsfargo.com, Toll-Free: 1-800-645-3751, BofA Securities, Inc. at: 200 North College Street, 3rd Floor, Charlotte, NC 28255, Attn: Prospectus Department, Email: dg.prospectus_requests@bofa.com, Toll-Free: 1-800-294-1322, MUFG Securities Americas Inc. at: 1221 Avenue of the Americas, 6th Floor, New York, NY 10020, Attn: Capital Markets Group, Phone: 877-649-6848, or SunTrust Robinson Humphrey, Inc. at: 303 Peachtree Street, Atlanta, GA 30308, Email: STRHdocs@SunTrust.com, Phone: 800-685-4786.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities, in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

Forward-Looking Statements: 
Statements in this press release other than historical facts, such as statements regarding KLA's anticipated use of proceeds from this offering, are forward-looking statements, and are subject to the Safe Harbor provisions created by the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current information and expectations and involve a number of risks and uncertainties. Actual results may differ materially from those projected in such statements due to various factors, including but not limited to those identified in KLA's Quarterly Report on Form 10-Q for the quarter ended Dec. 31, 2019, and other filings with the SEC (including, but not limited to, the risk factors described therein). KLA assumes no obligation to, and does not currently intend to, update these forward-looking statements.

About KLA:  
KLA develops industry-leading equipment and services that enable innovation throughout the electronics industry. We provide advanced process control and process-enabling solutions for manufacturing wafers and reticles, integrated circuits, packaging, printed circuit boards and flat panel displays. In close collaboration with leading customers across the globe, our expert teams of physicists, engineers, data scientists and problem-solvers design solutions that move the world forward. Additional information may be found at www.kla.com (KLAC-F).

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SOURCE KLA Corporation

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