Su­pe­rior Plus ar­ranges $150-mil­lion note fi­nanc­ing

Stockwatch Daily - - INDUSTRIALS & MATERIALS - Ms. Beth Sum­mers re­ports

SU­PE­RIOR PLUS Corp.’ s wholly owned sub­sidiary Su­pe­rior Plus LP has, pur­suant to an un­der­writ­ing agree­ment en­tered into to­day, agreed to is­sue and sell an ad­di­tional $150-mil­lion prin­ci­pal amount of its 5.25 per cent se­nior un­se­cured notes due Feb. 27, 2024, by way of a pri­vate place­ment un­der the in­den­ture pur­suant to which Su­pe­rior LP pre­vi­ously is­sued $250-mil­lion of notes on Feb. 27, 2017. The ad­di­tional notes will be is­sued at $1,015 per $1,000 prin­ci­pal amount, and in­ter­est thereon will be payable semi-an­nu­ally in ar­rears in equal in­stal­ments on Feb. 27 and Aug. 27 of each year with the first in­ter­est pay­ment com­menc­ing on Feb. 27, 2018. The ad­di­tional notes will form a sin­gle se­ries with the pre­vi­ously is­sued notes. The pri­vate place­ment is ex­pected to close on or about Oct. 16, 2017, sub­ject to cus­tom­ary clos­ing con­di­tions.

The net pro­ceeds from the is­suance of the ad­di­tional notes will be used to fi­nance the re­demp­tion of Su­pe­rior’s is­sued and out­stand­ing 6.00 per cent con­vert­ible un­se­cured sub­or­di­nated deben­tures due June 30, 2019 (of which there is $97-mil­lion ag-

gre­gate prin­ci­pal amount out­stand­ing), and to ini­tially re­pay drawn amounts un­der Su­pe­rior LP’s syn­di­cated re­volv­ing credit fa­cil­ity, which can be re­drawn for gen­eral cor­po­rate pur­poses. The re­demp­tion of the 6.00 per cent deben­tures is be­ing com­pleted on Nov .15,2017, in ac­cor­dance with the terms of the in­den­ture gov­ern­ing the 6.00 per cent deben­tures at a re­demp­tion price which is equal to the out­stand­ing prin­ci­pal amount of the 6.00 per cent deben­tures to be re­deemed, to­gether with all ac­crued and un­paid in­ter­est thereon up to, but ex­clud­ing, the re­demp­tion date, be­ing $1,022.6849 per $1,000 prin­ci­pal amount of the 6.00 per cent deben­tures. The 6.00 per cent deben­tures that are re­deemed will cease to bear in­ter­est from and af­ter the re­demp­tion date.

Pur­suant to the terms of the in­den­ture gov­ern­ing the 6.00 per cent deben­tures, hold­ers of the 6.00 per cent deben­tures have the right un­til the last busi­ness day prior to the re­demp­tion date to con­vert their 6.00 per cent deben­tures into com­mon shares of Su­pe­rior at a con­ver­sion price of $16.75, be­ing a rate of 59.7015 com­mon shares per $1,000 prin­ci­pal amount of 6.00 per cent deben­tures.

Na­tional Bank Fi­nan­cial Inc., CIBC World Mar­kets Inc. and BMO Nes­bitt Burns Inc. are act­ing as joint book-run­ning man­agers for the pri­vate place­ment, which also in­cludes Sco­tia Cap­i­tal Inc., TD Se­cu­ri­ties Inc., Ray­mond James Ltd., Canac­cord Ge­nu­ity Corp., Al­taCorp Cap­i­tal Inc., Cas­grain & Com­pany Ltd. and Cor­mark Se­cu­ri­ties Inc. as co-man­agers. About Su­pe­rior Plus Corp. Su­pe­rior con­sists of two pri­mary op­er­at­ing busi­nesses: en­ergy dis­tri­bu­tion in­cludes the dis­tri­bu­tion of propane and dis­til­lates and sup­ply port­fo­lio man­age­ment; and spe­cialty chem­i­cals in­cludes the man­u­fac­ture and sale of spe­cialty chem­i­cals.

We seek Safe Har­bor.

Cather­ine May Best, Eu­gene V N Bis­sell, Richard Bradeen, Luc Des­jardins, Ran­dall James Find­lay, Pa­trick Gottschalk, Dou­glas J Har­ri­son, Mary B Jor­dan, Walentin Mirosh, David Paul Smith

(SPB) Shares: 142,842,820

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