Astronics Corporation announced the pricing of $210.0 million aggregate principal amount of 0% convertible senior notes due 2031 in a private offering. These notes will not bear regular interest, providing a cost-effective financing solution for the company. The notes are set to mature on January 15, 2031.
The initial conversion rate for the notes is 18.2243 shares of common stock per $1,000 principal amount, equivalent to an initial conversion price of approximately $54.8718 per share. This represents a 25% conversion premium over the volume-weighted average price of $43.8974 per share on September 10, 2025.
Astronics intends to use approximately $25.1 million of the net proceeds to enter into capped call transactions, which are generally expected to reduce potential dilution upon conversion. Additionally, approximately $177.0 million of the net proceeds, combined with $108.8 million from its ABL Revolving Credit Facility, will be used to repurchase approximately $132.0 million aggregate principal amount of its outstanding 5.500% Convertible Senior Notes due 2030.
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