Photronics looking to obtain new revolver to replace previous $125 million loan

By Sara Rosenberg

New York, March 15 - Photronics Inc. is in the market for a new revolving credit facility, according to Michael McCarthy, vice president of investor relations and corporate communications. The company's previous revolver was terminated when it repaid the $57.7 million in outstanding debt using proceeds from a sale of $200 million of 4.75% convertible subordinated notes on Dec. 12, 2001.

The previous revolver allowed for approximately $125 million in available borrowings and had a life span of five years. According to McCarthy, it is anticipated that the new revolver will fall somewhere in that amount and maturity range as well. However, he added, "the company maintains a flexible position."

A time schedule for closing on the new loan has not yet been determined. The company is currently evaluating various banks and reviewing terms and conditions to see whom it is interested in entering into an agreement with, McCarthy said.

Proceeds from the revolver would be used for general corporate purposes.

Photronics, a developer of reticles and photomasks for semiconductor and microelectronic applications, reported $150 million in cash on the balance sheet at the end of the first quarter and has working capital of approximately $170 million.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.