Cadence Design Systems has entered into a $700 million two-year senior unsecured term loan credit facility on May 30, 2024, with Bank of America as the administrative agent. The facility proceeds were used to finance the previously announced acquisition of BETA CAE Systems International AG.The loan agreement includes interest rates based on either Term SOFR plus 0.875% to 1.375% margin and 0.10% credit spread adjustment, or base rate plus 0% to 0.375% margin, depending on Cadence's debt rating. The company must maintain a funded debt to Consolidated EBITDA ratio not exceeding 3.25 to 1, with potential increase to 3.75 to 1 for one year following qualifying acquisitions.As part of the acquisition completion, Cadence issued 1,740,931 shares of common stock to BETA CAE shareholders as partial consideration. The stock issuance was conducted under exemptions from registration requirements pursuant to Section 4(a)(2), Rule 506 of Regulation D, and/or Regulation S of the Securities Act.

Cadence Design Systems has entered into a $700 million two-year senior unsecured term loan credit facility on May 30, 2024, with Bank of America as the administrative agent. The facility proceeds were used to finance the previously announced acquisition of BETA CAE Systems International AG.The loan agreement includes interest rates based on either Term SOFR plus 0.875% to 1.375% margin and 0.10% credit spread adjustment, or base rate plus 0% to 0.375% margin, depending on Cadence's debt rating. The company must maintain a funded debt to Consolidated EBITDA ratio not exceeding 3.25 to 1, with potential increase to 3.75 to 1 for one year following qualifying acquisitions.As part of the acquisition completion, Cadence issued 1,740,931 shares of common stock to BETA CAE shareholders as partial consideration. The stock issuance was conducted under exemptions from registration requirements pursuant to Section 4(a)(2), Rule 506 of Regulation D, and/or Regulation S of the Securities Act.