Conexant Systems, Inc. (CNXT) recently announced that it will redeem the remaining $61.4 million of outstanding floating rate senior secured notes due in November 2010 on Dec18, 2009. Earlier, the company retired an aggregate amount of $80 million of its senior secured notes due in November 2010. The notes will be redeemed at a cash redemption price equal to 101% of the principal amount of the notes, plus accrued and unpaid interest to the redemption date. Management plans to use the cash balance on the balance sheet to fund the redemption of debt and strengthen its capital structure. The company had earlier raised $21.2 million by offering 8,050,000 shares to the public. As a result of this retirement of debt, Conexant will reduce its annual interest burden by more than
↧