Gilat Noteholders On Board For Exchange Offer
By Staff Writer | October 21, 2003
Israel-based Gilat Satellite Networks’ [Nasdaq: GILTF] major noteholders intend to participate in the satellite operator’s offer to exchange outstanding 4 percent convertible subordinated notes due in 2012 for the company’s ordinary shares priced at 20 cents each. Earlier this month, Gilat announced plans to offer each of its 125 ordinary shares for $1,000 principal amount of the notes and interest. Gilat said the exchange is expected to result in a significant improvement in Gilat’s balance sheet, increased shareholder’s equity, reduced debt and improved financial ratios.