Camtek prices $425 million convertible notes offering at 0% interest

Published 12/09/2025, 12:20
Camtek prices $425 million convertible notes offering at 0% interest

MIGDAL HAEMEK, Israel - Camtek Ltd. (NASDAQ:CAMT; TASE:CAMT), a semiconductor inspection equipment manufacturer with a market capitalization of $3.84 billion and strong financial health according to InvestingPro data, has priced an upsized offering of $425 million in 0.00% Convertible Senior Notes due 2030. The offering, which was increased from the previously announced $400 million, is expected to close on September 16.

The notes will mature on September 15, 2030, and will not bear regular interest. They will be convertible into Camtek ordinary shares at an initial conversion rate of 9.1455 shares per $1,000 principal amount, equivalent to a conversion price of approximately $109.34 per share. This represents a 30% premium over Camtek’s closing share price on September 11, with the stock currently trading near its 52-week high of $110.73.

Holders can convert the notes under specified conditions before June 15, 2030, and at any time thereafter until two trading days before maturity. Conversions will be settled in cash, Camtek shares, or a combination, at the company’s discretion.

Camtek plans to use approximately $267 million of the proceeds to repurchase about $167.1 million of its existing 0% senior convertible notes due 2026. The remainder will fund general corporate purposes, including potential acquisitions, working capital, and research and development. The company’s strong financial position is evidenced by its impressive current ratio of 5.41 and robust revenue growth of 27.88% over the last twelve months, as reported by InvestingPro.

The company has granted initial purchasers an option to buy up to an additional $75 million in notes within 13 days of the initial issuance.

The notes were offered only to qualified institutional buyers under Rule 144A of the Securities Act of 1933. The notes and potential underlying shares have not been registered under the Securities Act and may not be offered or sold in the United States without registration or an applicable exemption.

Camtek develops and manufactures inspection and metrology equipment for the semiconductor industry, with manufacturing facilities in Israel and Germany and eight offices worldwide. For detailed analysis and additional insights about Camtek’s financial health and growth prospects, investors can access the comprehensive Pro Research Report available on InvestingPro, which covers over 1,400 top US stocks with expert analysis and actionable intelligence.

This information is based on a press release statement from the company.

In other recent news, Camtek Ltd. reported its second-quarter earnings for 2025, showing an earnings per share (EPS) of $0.79, aligning with analyst forecasts. The company’s revenue surpassed expectations, reaching $123.3 million compared to the projected $121.57 million. Additionally, Camtek announced its plan to offer $400 million in 0.00% Convertible Senior Notes due in 2030 through a private placement to qualified institutional buyers. The firm has also granted initial purchasers the option to acquire an additional $60 million in notes within 13 days of issuance. These notes will mature on September 15, 2030, unless they are repurchased, redeemed, or converted earlier. Despite the positive revenue results, the company faces broader market volatility and operational challenges. The recent developments highlight Camtek’s strategic financial maneuvers and ongoing market conditions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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