TTM Technologies, Inc. Announces Successful Repricing of Term B Loans and Asset Based Loan
September 27 2016 - 9:15AM
TTM Technologies, Inc. (NASDAQ:TTMI) ("TTM” or the “Company") today
announced that it has successfully priced $775 million of new U.S.
dollar-denominated Term B Loans at an interest rate of LIBOR +
4.25%, which priced 75 basis points lower than its previous Term B
Loans issued in May 2015. In connection with this
transaction, TTM settled $841 million of the previously outstanding
U.S. dollar-denominated Term B Loans, thereby paying down
approximately $66 million of its previously outstanding Term B
Loans. The new financing is expected to generate annual
interest savings of approximately $19.5 million. This consists of
reduced cash interest payments of $10.0 million and reduced
non-cash interest expense of $9.5 million. The new Term B Loans
have the same remaining tenor as the previous Term B Loans and
mature on May 31, 2021. In conjunction with this transaction, TTM
will record, in the fourth quarter, non-cash expense of $47.8
million for the write off of the original issuance discount of
$25.4 million and debt issuance costs of $22.4 million associated
with the Term B Loans originally issued in May 2015.
In addition, the Company has increased the
availability of its revolving U.S. Asset Based Loan from $150
million to $200 million, decreased the interest rate 25 basis
points and made other minor amendments to the loan agreement.
The Company’s borrowing under its U.S. Asset Based Loan remains at
$80 million.
About TTM TTM Technologies, Inc.
is a major global printed circuit board manufacturer, focusing on
quick-turn and technologically advanced PCBs, backplane assemblies
and electro-mechanical solutions. TTM stands for time-to-market,
representing how TTM's time-critical, one-stop manufacturing
services enable customers to shorten the time required to develop
new products and bring them to market. Additional information can
be found at www.ttm.com.
Forward-Looking Statements This
release contains forward-looking statements that relate to future
events or performance. TTM cautions you that such statements are
simply predictions and actual events or results may differ
materially. These statements reflect TTM's current expectations,
and TTM does not undertake to update or revise these forward
looking statements, even if experience or future changes make it
clear that any projected results expressed or implied in this or
other TTM statements will not be realized. Further, these
statements involve risks and uncertainties, many of which are
beyond TTM's control, which could cause actual results to differ
materially from the forward-looking statements. These risks and
uncertainties include, but are not limited to, the successful
integration of Viasystems, general market and economic conditions,
including interest rates, currency exchange rates and consumer
spending, demand for TTM's products, market pressures on prices of
TTM's products, warranty claims, changes in product mix,
contemplated significant capital expenditures and related financing
requirements, TTM's dependence upon a small number of customers and
other factors set forth in the "Risk Factors" and "Management's
Discussion and Analysis of Financial Condition and Results of
Operations" sections of the Company's public reports filed with the
SEC.
Contact:
Sameer Desai
Senior Director, Corporate Development & Investor Relations
TTM Technologies, Inc.
+1 714 327 3050
sameer.desai@ttmtech.com
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