YAVNE, ISRAEL -- Orbotech is planning a public offering of 3.85 million ordinary shares and will use the proceeds to pay down debt, the company announced today.

In connection with the offering, Orbotech has also granted the underwriter, Barclays Capital, an option to purchase up to 385,000 additional ordinary shares.

The company plans to use the net proceeds to repay a portion of its outstanding indebtedness under a credit agreement dated Aug. 7, 2014.

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