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Cargojet Announces Redemption of 5.5% Convertible Unsecured Subordinated Debentures
Cargojet Announces Redemption of 5.5% Convertible Unsecured Subordinated Debentures ...
About this update from Cargojet Inc.
[{"type":"text","content":"\n\n\n\nCargojet Announces Redemption of 5.5% Convertible Unsecured Subordinated Debentures\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\nMISSISSAUGA, ON, May 15, 2017\n\n\n\nMISSISSAUGA, ON, May 15, 2017 /CNW/ - Cargojet Inc. (\"Cargojet\" or the \"Corporation\") (TSX: CJT, CJT.A) announced today that on July 5, 2017 (the \"Redemption Date\") it intends to redeem in full all of its then outstanding 5.5% convertible unsecured subordinated debentures due June 30, 2019 (the \"Debentures\") in accordance with the provisions of the indenture dated as of April 29, 2014 (the \"Indenture\") between the Corporation and Computershare Trust Company of Canada (the \"Trustee\").\n\nThe redemption price for the Debentures shall be 100% of the aggregate outstanding principal amount (\"Redemption Price\"), together with accrued and unpaid interest up to, but excluding, the Redemption Date.  In accordance with the Indenture, the Company intends to elect to satisfy its obligation to pay the Redemption Price by issuing to Debenture holders common voting shares (\"Common Voting Shares\") or variable voting shares (together with the Common Voting Shares, \"Voting Shares\"), as applicable, in the capital of the Corporation and to pay all accrued and unpaid interest up to, but excluding, the Redemption Date, in cash. The number of Voting Shares delivered will be determined by dividing the Redemption Price by 95% of the then current market price (as defined in the Indenture) of the Common Voting Shares on the Redemption Date in accordance with the terms of the Indenture.\n\nDebenture holders have the right, by giving notice to the Trustee by no later than 5:00 p.m. (Toronto time) on July 4, 2017, to elect to convert their debentures into Voting Shares at the conversion price in effect on the date of conversion in accordance with the terms of the Indenture.\n\nCargojet is Canada's leading provider of time sensitive overnight air cargo services and carries approximately 1,300,000 pounds of cargo each business night.  Cargojet operates its network across North Ameri...