NETANYA, Israel, Sept. 1,
2024 /PRNewswire/ -- TAT Technologies Ltd. (NASDAQ
and TASE: TATT - News) ("TAT" or the
"Company"), a leading provider of products and
services to the commercial and military aerospace and ground
defense industries, announced today that, following the approval of
its Board of Directors, it has received and accepted commitments
from Israeli institutional and accredited investors (as defined
under Israel's Securities Law,
5728-1968) (the "Investors"), to participate in a
private placement (the "Private Placement") of
Ordinary Shares of the Company ("Ordinary
Shares").
The Company is expected to issue and sell to the Investors an
aggregate of 673,340 Ordinary Shares (the "Shares"),
for a purchase price of NIS 54.95 per
Share (approximately $15.03 per
Share*). The newly issued Shares are expected to represent
approximately 6.2% of the Company's issued and outstanding Ordinary
Shares after the consummation of such sale. The closing of the
transaction is subject to customary closing conditions and is
expected to be completed in September
2024.
The Company expects to receive net proceeds from the sale of the
Shares, after deducting offering expenses, of approximately
NIS 36.5 million (or approximately
$10.0 million*). The Company intends
to use such proceeds for general corporate purposes.
In addition, FIMI Israel Opportunity FIVE, Limited Partnership
and FIMI Opportunity V, L.P. (the "FIMI Funds"), the
Company's largest shareholder, notified the Company that it
received and accepted commitments from Israeli institutional and
accredited investors to purchase from the FIMI Funds an aggregate
of 2,349,706 Ordinary Shares, for a purchase price of NIS 54.95 per Ordinary Share (approximately
$15.03 per Ordinary Share*), or an
aggregate of NIS 129.1 million
(approximately $35.3 million*). The
Company will not receive any proceeds from the sale of the Ordinary
Shares by the FIMI Funds. Following the consummation of the Private
Placement and the private sale of Ordinary Shares by the FIMI
Funds, the FIMI Funds are expected to beneficially own
approximately 26.8% of the Company's issued and outstanding
Ordinary Shares.
The Private Placement and the sale by the FIMI Funds
are being made in Israel only
and not to U.S. persons, as defined in Rule 902 of the U.S.
Securities Act of 1933, as amended (the "Securities
Act"), pursuant to a registration exemption afforded by
Regulation S promulgated under the Securities Act, and the Shares
will be subject to certain transfer restrictions. The Shares will
not be registered under the Securities Act and will not be offered
or sold in the United States
without registration or applicable exemption from the registration
requirements according to the Securities Act.
This press release does not constitute an offer to sell or
the solicitation of an offer to buy or subscribe for any securities
or a solicitation of any vote or approval nor shall there be any
sale, issuance or transfer of securities in any jurisdiction in
which such offer, solicitation, sale, issuance or transfer would be
unlawful prior to registration or qualification under the
securities laws of any such jurisdiction.
* Calculated based on the exchange rate of $1.00:NIS 3.656, as
published by the Bank of Israel on
August 30, 2024.
Legal Notice Regarding Forward-Looking
Statements
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. Forward-looking
statements generally relate to future events or our future
financial or operating performance. Forward-looking statements
in this press release include, but are not limited to, statements
related to our expectations regarding the issuance and sale of the
shares, the closing date of the transaction, and the Company's
intended use of the proceeds from the sale of the Shares. Our
expectations and beliefs regarding these matters may not
materialize, and actual results or events in the future are subject
to risks and uncertainties that could cause actual results or
events to differ materially from those projected, including,
without limitation, as a result of the war and hostilities between
Israel and Hamas, Hezbollah and
Iran. The forward-looking statements contained in this
press release are subject to other risks and uncertainties,
including those more fully described in our filings with the
Securities and Exchange Commission, including our Annual Report on
Form 20-F filed with the Securities and Exchange Commission on
March 6, 2024. The forward-looking
statements in this press release are based on information
available to the Company as of the date hereof, and the Company
disclaims any obligation to update any forward-looking statements,
except as required by law.
About TAT Technologies Ltd.
TAT Technologies Ltd. is a leading provider of services and
products to the commercial and military aerospace and ground
defense industries. TAT operates under four segments: (i) Original
equipment manufacturing ("OEM") of heat transfer solutions and
aviation accessories through its Gedera facility; (ii) MRO services
for heat transfer components and OEM of heat transfer solutions
through its Limco subsidiary; (iii) MRO services for aviation
components through its Piedmont subsidiary; and (iv) Overhaul and
coating of jet engine components through its Turbochrome
subsidiary. TAT controlling shareholders is the FIMI Private Equity
Fund.
TAT's activities in the area of OEM of heat transfer solutions
and aviation accessories primarily include the design, development
and manufacture of (i) broad range of heat transfer solutions, such
as pre-coolers heat exchangers and oil/fuel hydraulic heat
exchangers, used in mechanical and electronic systems on board
commercial, military and business aircraft; (ii) environmental
control and power electronics cooling systems installed on board
aircraft in and ground applications; and (iii) a variety of other
mechanical aircraft accessories and systems such as pumps, valves,
and turbine power units.
TAT's activities in the area of MRO Services for heat transfer
components and OEM of heat transfer solutions primarily include the
MRO of heat transfer components and to a lesser extent, the
manufacturing of certain heat transfer solutions. TAT's Limco
subsidiary operates an FAA-certified repair station, which provides
heat transfer MRO services for airlines, air cargo carriers,
maintenance service centers and the military.
TAT's activities in the area of MRO services for aviation
components include the MRO of APUs, landing gears and other
aircraft components. TAT's Piedmont subsidiary operates an
FAA-certified repair station, which provides aircraft component MRO
services for airlines, air cargo carriers, maintenance service
centers and the military.
TAT's activities in the area of overhaul and coating of jet
engine components includes the overhaul and coating of jet engine
components, including turbine vanes and blades, fan blades,
variable inlet guide vanes and afterburner flaps.
For more information of TAT Technologies Ltd., please visit our
web-site: www.tat-technologies.com
Contact:
Mr. Ehud
Ben-Yair
Chief Financial Officer
Tel: 972-8-862-8503
ehudb@tat-technologies.com
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SOURCE TAT Technologies Ltd.