PMC® (Nasdaq: PMCS), the semiconductor innovator transforming networks that connect, move, and store big data, announced today that the Company will exercise its right under the corresponding indenture (the “indenture”) to redeem all of the Company’s 2.25% senior convertible notes due 2025 (the “notes”). The redemption will take place on October 20, 2012, at one hundred per cent (100%) of the outstanding principal amount of the notes plus accrued and unpaid interest. As a result of the call for redemption, the notes may also be surrendered by the Company’s holders for conversion through October 18, 2012, as provided for in the indenture.
Independent of such redemption and related conversion right, holders of the notes have the right at their option to require PMC to purchase their notes on October 15, 2012. This can be done at a purchase price payable in cash equal to one hundred percent (100%) of the principal amount of the notes plus accrued and unpaid interest.
PMC had previously repurchased most of the original issuance of $225 million principal amount of the notes. Approximately $68.3 million of the principal amount of the notes remain outstanding.
Safe Harbor StatementThis release contains forward-looking statements that may involve risks and uncertainties. The Company’s SEC filings describe the risks associated with the Company’s business, including PMC’s limited revenue visibility due to variable customer demands, market segment growth or decline, orders with short delivery lead times, customer concentration, changes in inventory, and other items such as foreign exchange rates and volatility in global financial markets. About PMC PMC (Nasdaq: PMCS) is the semiconductor innovator transforming networks that connect, move and store big data. Building on a track record of technology leadership, the Company is driving innovation across storage, optical and mobile networks. PMC’s highly integrated solutions increase performance and enable next-generation services to accelerate the network transformation. For more information, visit www.pmcs.com. Follow PMC on Twitter, LinkedIn and RSS. © Copyright PMC-Sierra, Inc. 2012. All rights reserved. PMC and PMC-SIERRA are registered trademarks of PMC-Sierra, Inc. in the United States and other countries. PMCS and Adaptec by PMC are trademarks of PMC-Sierra, Inc. Other product and company names mentioned herein may be trademarks of their respective owners. PMC is the corporate brand of PMC-Sierra, Inc.