ON Semiconductor Corp. (Phoenix, AZ) announced that it has successfully refinanced approximately $369 million of term loans under its senior secured credit facilities. As a result of the refinancing, ON Semiconductor has reduced the interest rate that it pays from LIBOR plus 400 basis points to LIBOR plus 325 basis points. The reduced borrowing rate is expected to save ON Semiconductor approximately $3 million per year in interest costs based on the current loan balance.
"This is another step in our long-term, de-leveraging strategy to reduce debt and related financing costs," said Donald Colvin, ON Semiconductor senior vice president and CFO. "We are appreciative of the continued support that ON Semiconductor has received in the investment community."
