Sheldahl Files Form 8-K With Transaction Terms
21 December 2000
Sheldahl Files Form 8-K With Transaction Terms
NORTHFIELD, Minn., Dec. 21 Sheldahl Inc.
announced today that investors seeking specific details regarding the
Company's previously announced transactions with International Flex
Technologies Inc. ("IFT"), Morgenthaler Partners ("Morgenthaler"), Ampersand
Ventures ("Ampersand") and Molex Incorporated ("Molex") can find such
information in the Company's Securities and Exchange Commission filings on
Form 8-K filed on November 13, 2000 and December 20, 2000. The text of these
filings on Form 8-K can be reviewed by accessing the following web address:
http://www.sheldahl.com/Invest/SECFilings.htm
As previously reported, Morgenthaler and Ampersand will invest $25 million
in equity capital in exchange for shares of Sheldahl common stock and shares
of a new series of convertible preferred stock. Under the revised terms for
the transaction, the conversion price of the preferred stock has decreased
from approximately $2.77 per share to $1.40 and the dividend conversion price
has decreased from approximately $3.54 per share to $1.625 per share. The
dividend coupon of 11.06% for the preferred stock has not changed.
International Flex Technologies Inc. is a leading producer of fine-line,
high quality flexible circuits for sale to the electronics, data
communications and medical markets. The Company, headquartered in Endicott,
N.Y., has operations in Stamford, Conn. and sales offices worldwide.
Information on IFT can be found on the World Wide Web at
http://www.internationalflex.com
Morgenthaler Partners is a private equity investment firm with offices in
Cleveland, Ohio and Menlo Park, Calif., with approximately $1.0 billion under
management. Information on Morgenthaler can be found on the World Wide Web at
http://www.morgenthaler.com
Ampersand Ventures is a private equity investment firm with offices in
Wellesley, Mass. and San Diego, Calif., with approximately $350 million in
capital under management. Information on Ampersand Ventures can be found on
the World Wide Web at http://www.ampersandventures.com
Molex Incorporated is a 62-year-old manufacturer of electronic, electrical
and fiber optic interconnection products and systems; switches; value-added
assemblies; and application tooling. Based in Lisle, Ill., USA, the Company
operates 52 manufacturing facilities in 19 countries and employs approximately
17,650 people. For more information please go to http://www.molex.com
Sheldahl, Inc. is a leading producer of high-density substrates,
high-quality flexible printed circuitry, and flexible laminates primarily for
sale to the automotive electronics and data communications markets. The
Company, which is headquartered in Northfield, Minn., has operations in
Northfield; Longmont, Colo.; South Dakota; Toronto, Ontario, Canada; and
Chihuahua, Chih., Mexico. Its sales offices are located in Detroit, Mich.,
Hong Kong, China; Singapore; and Mainz, Germany. As of September 1, 2000,
Sheldahl employed approximately 800 people. Sheldahl's common stock trades on
the Nasdaq National Market tier of the Nasdaq Stock Market under the symbol:
SHEL. Sheldahl news and information can be found on the World Wide Web at
http://www.sheldahl.com
The discussion above contains statements within the meaning of the Private
Securities Litigation Reform Act of 1995. These statements by their nature
involve substantial risks and uncertainties as described by Sheldahl's
periodic filings. Actual results may differ materially depending on a variety
of factors, including, but not limited to the following: the achievement of
Sheldahl's projected operating results, the ability of Sheldahl to
successfully obtain waivers from its lenders for defaults on its debt
covenants, the achievement of efficient volume production and related sales
revenue results at Longmont, the ability of Sheldahl to identify and
successfully pursue other business opportunities and Sheldahl not completing
the transactions described above. Additional information with respect to the
risks and uncertainties faced by Sheldahl may be found in, and the prior
discussion is qualified in its entirety by, the Risk Factors contained in the
Company's filings with the Securities and Exchange Commission including
Sheldahl's Annual Report, Form 10-K for the fiscal year ended September 1,
2000, and other SEC filings. Sheldahl does not undertake any obligation to
update any such factors or to publicly announce developments or events
relating to the matters described herein.