Emulex Announces Pricing of $150 Million

Emulex Corporation announced the pricing of $150 million aggregate principal amount of its offering of 1.75% Convertible Senior Notes due 2018 in a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933.

The notes will be issued at a price equal to 100% of the principal amount thereof.

In addition, the company has granted the initial purchaser for the offering an option to purchase up to an additional $25 million aggregate principal amount of notes from the company.

The company currently intends to use a portion of the net proceeds of the offering for general corporate purposes, including repurchases of shares of its common stock through an accelerated share repurchase and individually negotiated transactions. A portion of the shares repurchased may be purchased from purchasers of the notes in privately negotiated transactions effected through the initial purchaser, as agent, on the date of the pricing of the offering.

The initial conversion rate of the notes is 97.1322 shares of common stock per $1,000 principal amount of notes (which is equivalent to an initial conversion price of approximately $10.30 per share). The notes will be convertible prior to the close of business on the business day immediately preceding August 15, 2018, but only upon the occurrence of specified events; thereafter, until the close of business on the scheduled trading day immediately preceding the maturity date (November 15, 2018), the notes will be convertible at any time.

Upon conversion, the notes will be settled in cash and, if applicable, in shares of Emulex’s common stock (subject to Emulex’s right to pay cash in lieu of all or any portion of such shares).

Goldman, Sachs & Co. is acting as the sole initial purchaser for resale of the offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act.