On August 12, 2021, Microchip Technology Incorporated, a leading provider of smart, connected, and secure embedded control solutions, announced that that it has entered into separate privately negotiated exchange agreements (the “Exchange Agreements”) with certain holders of its outstanding 1.625 percent Convertible Senior Subordinated Notes due 2025 (the “2025 Notes”), 1.625 percent Convertible Senior Subordinated Notes due 2027 (the “2027 Notes”), and 2.250 percent Convertible Junior Subordinated Notes due 2037 (the “2037 Notes”).

Under these agreements, Microchip will deliver and pay an aggregate of approximately 2.7 million shares of Microchip’s common stock, and approximately $266.0 million in cash, in exchange for approximately $70.4 million principal amount of the 2025 Notes, approximately $100.7 million principal amount of the 2027 Notes, and approximately $92.5 million principal amount of the 2037 Notes.

Following the closing of the transactions, approximately $71.0 million in aggregate principal amount of 2025 Notes will remain outstanding, approximately $232.7 million in aggregate principal amount of 2027 Notes will remain outstanding, and approximately $30.1 million in aggregate principal amount of 2037 Notes will remain outstanding.

Wilson Sonsini Goodrich & Rosati is representing Microchip in the transactions. The Wilson Sonsini team includes Rob Suffoletta, Michael Occhiolini, Emily Coskey, Kayla Kirk, and Melanie Froh.

For more information, please see Microchip's press release.