SunEdison Announces Redemption Of $550M Senior Notes And $200M Second Lien; Expects to Save More than $35M in Interest Expenses
SunEdison (NYSE: SUNE) announced today that it has completed the redemption of all $550 million outstanding aggregate principal amount of its 7.75% senior notes due 2019, and its $200 million second lien term loan with an interest rate of 10.75%. These redemptions follow the company's successful, upsized offering of $600 million of 2.00% Convertible Senior Notes due October 1, 2018, and $600 million of 2.75% Convertible Senior Notes due January 1, 2021.
Lower interest expense associated with the company's convertible debt offering, relative to the extinguished debt, will result in a net savings of more than $35 million per year.
"The successful upsizing of our convertible debt offering and the redemptions announced today meaningfully reduce our annual interest expense and further strengthen our balance sheet," stated Brian Wuebbels, Chief Financial Officer of SunEdison. "We are well positioned to continue to improve our balance sheet while investing for future growth."
About SunEdison SunEdison is a global leader in semiconductor and solar technology. SunEdison's semiconductor business has been a pioneer in the design and development of silicon wafer technologies for over 50 years. With R&D and manufacturing facilities in the U.S., Europe and Asia, SunEdison enables the next generation of high performance semiconductor devices. SunEdison's solar business develops, finances, installs and operates distributed power plants, delivering fully managed, predictably priced solar energy services for its commercial, government and utility customers. SunEdison's common stock is listed on the New York Stock Exchange under the symbol "SUNE."
Forward-Looking Statements Some of the statements in this press release are "forward-looking" and are made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. These "forward-looking" statements include statements relating to the expected annual interest expense from the convertible senior notes. These statements involve risks and uncertainties that may cause results to differ materially from the statements set forth in this press release. The forward-looking statements in this press release speak only as of the date of this press release and are subject to uncertainty and changes. Given these circumstances, you should not place undue reliance on these forward-looking statements. SunEdison expressly disclaims any obligation or undertaking to release publicly any updates or revisions to such statements to reflect any change in its expectations with regard thereto or any changes in the events, conditions or circumstances on which any such statement is based.
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.