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AutoCanada announces closing of senior notes offering, results of tender offer, and redemption of 2021 senior notes not tendered in tender offer
AutoCanada announces closing of senior notes offering, results of tender offer, and redemp...
About this update from Autocanada Inc.
[{"type":"text","content":"\n\n\n\nAutoCanada announces closing of senior notes offering, results of tender offer, and redemption of 2021 senior notes not tendered in tender offer\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nEDMONTON, Feb. 11, 2020\n\n\n\nEDMONTON, Feb. 11, 2020 /CNW/ - AutoCanada Inc. (\"AutoCanada\" or the \"Company\") (TSX: ACQ) is pleased to announce that it has closed its previously announced private placement of $125 million aggregate principal amount of 8.75% senior notes due February 11, 2025 (the \"Notes\").\n\n \n \n\n \nAs previously announced and concurrent with the closing of the private placement of the Notes, AutoCanada has entered into an amended and restated credit agreement (the \"New Credit Facility\"). The New Credit Facility amends and extends AutoCanada's existing credit facility for three years, and includes a $175 million revolving credit facility, a $750 million wholesale floorplan financing facility and a $25 million wholesale leasing facility, for total aggregate bank facilities of $950 million.\nIn addition, the Company announced that its cash tender offer (the \"Tender Offer\") to purchase any and all outstanding 5.625% Senior Notes due May 25, 2021 (the \"2021 Notes\") expired on February 10, 2020 at 5:00pm (EST). Pursuant to the terms of the Tender Offer, AutoCanada will be taking-up all of the approximately $124.5 million aggregate principal amount of 2021 Notes that have been validly tendered. Further to its overall debt refinancing plans and as previously announced, AutoCanada is giving notice of redemption of all 2021 Notes remaining outstanding following the expiry of the Tender Offer (the \"Outstanding 2021 Notes\").  The redemption of the Outstanding 2021 Notes will occur on March 13, 2020 and interest will cease to accrue on the Outstanding 2021 Notes as of that date. The total redemption amount payable for each $1,000 principal amount of the Outstanding 2021 Notes will be $1,014.06, plus accrued and unpaid interest.\nAutoCanada plans to use the proceeds from the Notes, together with borrowings under the New Credit ...