Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 289

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 19
Chunk 289
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C. Long-term JPY Loans
In December 2021, TPSCo refinanced its then existing loan with an11billion JPY (approximately $70,000as of December 31, 2024) asset-based loan with a consortium of financial institutions consisting of (i) JA Mitsui Leasing, Ltd., (ii) Mitsubishi HC Capital Inc., (iii) Taishin International Bank Co., Ltd. Tokyo Branch, and (iv) BOT lease Co. Ltd. (“2021 JPY Loan”). The 2021 JPY Loan carried a fixed interest rate of1.95% per annum with principalpayable in seven semiannual payments from December 2024 until December 2027. The 2021 JPY Loan was secured mainly by a lien over the machinery and equipment of TPSCo located in the Uozu and Tonami facilities.
In September 2023, TPSCo entered into a term loan agreement with JA Mitsui Leasing Ltd. for an additional3.5billion JPY (approximately $22,000as of December 31, 2024) term loan (“2023 JPY Loan”). The 2023 JPY Loan carried a fixed interest rate of1.95% per annum with principalpayable in seven semiannual payments from September 2024 until September 2027. The 2023 JPY Loan was secured by a second lien over the machinery and equipment of TPSCo located in the Uozu and Tonami facilities.
In December 2024, TPSCo signed an agreement with its lenders to refinance its 2021 JPY Loan and 2023 JPY Loan with a new14.5billion JPY (approximately $92,000as of December 31, 2024) asset-based loan (“2024 JPY Loan”), of which11.5billion JPY were used to repay the 2021 JPY Loan and 2023 JPY Loan and12.5billion JPY were drawn, resulting in outstanding JPY Loans of15.5billion JPY (approximately $100,000) as of December 31, 2024. In accordance with this agreement, during the first half of 2025, an amount of3billion JPY is outstanding for repayment and an amount of2billion JPY is expected to be withdrawn. The lenders are a consortium of financial institutions consisting of (i) JA Mits