Micron Prices $600 Million Offering of 5.875% Senior Notes

BY  | FROM GLOBE NEWSWIRE | 2014-02-07 10:23

BOISE, Idaho, Feb. 7, 2014 (GLOBE NEWSWIRE) -- Micron Technology, Inc., (Nasdaq:MU) today announced the pricing of an offering of $600 million aggregate principal amount of its 5.875% senior notes due 2022 (the "Notes"). The Notes are being offered to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and outside the United States to non-U.S. persons pursuant to Regulation S under the Securities Act. The sale of the Notes is expected to close on February 10, 2014, subject to the satisfaction of customary closing conditions. Interest on the Notes will accrue at a rate of 5.875% per year, and will be payable in cash semi-annually in arrears, beginning on August 15, 2014.
The Notes will mature on February 15, 2022, unless earlier repurchased or redeemed. Holders may require Micron to repurchase their Notes upon the occurrence of certain change of control events at a repurchase price equal to 101% of the principal amount thereof plus accrued and unpaid interest, if any.
Prior to February 15, 2017, Micron may redeem the Notes, in whole or in part, at a price equal to 100% of the principal amount thereof plus a "make-whole" premium and accrued and unpaid interest, if any, and Micron may use the net cash proceeds of one or more equity offerings to redeem up to 35% of the aggregate principal amount of the Notes at a price equal to 105.875% of the principal amount thereof plus accrued and unpaid interest, if any. On or after February 15, 2017, Micron may redeem the Notes, in whole or in part, at specified prices that decline over time, plus accrued and unpaid interest, if any.
Micron intends to use the net proceeds from this offering to pay a portion of the costs of extinguishing its obligations with respect to its outstanding 1.875% convertible senior notes due 2014 (the "2014 Notes"), which may include payments in settlement of conversions of, or to repurchase or redeem, the 2014 Notes. On January 31, 2014, Micron gave notice to holders of the 2014 Notes that their notes will be redeemed on March 3, 2014, except to the extent such notes are converted or repurchased by Micron prior to such date.
This announcement is neither an offer to sell nor a solicitation to buy any of the foregoing securities, nor shall there be any sale of the 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.


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