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ams OSRAM Announces Upsized Offering of Senior Notes

PREMSTAETTEN, Austria and MUNICH, Germany — ams OSRAM has announced the successful pricing of EUR 1 billion (equivalent) senior notes, comprising EUR 625 million aggregate principal amount of senior unsecured notes due March 2029 at a coupon of 10.5% per annum and of USD 400 million aggregate principal amount of senior unsecured notes due March 2029 at a coupon of 12.25% per annum (collectively, the “Notes”), which was upsized due to strong demand, as part of its financing plan presented on 27 September 2023.

The offering of the Notes is expected to close and the Notes are expected to be issued on or around 30 November 2023. The proceeds from the offering of the Notes will initially be deposited into segregated accounts. Upon their release from such accounts following the closing of the proposed rights offering, ams OSRAM intends to use the proceeds from the offering of the Notes, together with the proceeds of the rights offering and the sale and leaseback of the Group’s new Kulim 8-inch facility announced on 30 October 2023, to redeem in full its outstanding USD 450,000,000 7% Senior Notes due 2025 and EUR 850,000,000 6% Senior Notes due 2025, repay amounts outstanding under certain bank facilities, fund general corporate purposes, and pay related fees and expenses.

The additional proceeds from the upsize bring forward the final component of ams OSRAM’s previously announced holistic financing plan, and the company therefore expects that the previously planned additional EUR 200 million (equivalent) financings originally expected to be completed in 2024 will no longer be required.

ams OSRAM also announces today that it has entered into an agreement to extend the maturity of its EUR 100 million overdraft facility with COMMERZBANK Aktiengesellschaft to June 2026, which is expected to take effect following closing its planned rights offering.

Disclosures here
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