Business
Chemtrade Logistics Income Fund Completes $100 Million Public Offering of Convertible Debentures Bought Deal
Chemtrade Logistics Income Fund Completes $100 Million Public Offering of Convertible Debe...
About this update from Chemtrade Logistics Income Fund
[{"type":"text","content":"\n\n\n\nChemtrade Logistics Income Fund Completes $100 Million Public Offering of Convertible Debentures Bought Deal\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.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nTORONTO, Oct. 1, 2019\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES./\n TORONTO, Oct. 1, 2019 /CNW/ - Chemtrade Logistics Income Fund (TSX: CHE.UN) (\"Chemtrade\" or the \"Fund\") announced today that it has completed its previously-announced public offering of $100 million principal amount of 6.50% convertible unsecured subordinated debentures (the \"Debentures\") due October 31, 2026. The Debentures are convertible, at the option of the holder, into trust units of Chemtrade at a conversion price of $15.80 per unit. The Debentures were sold to a syndicate of underwriters led by BMO Capital Markets on a bought deal basis. In addition, Chemtrade has granted the underwriters an over-allotment option to purchase up to an additional $15 million aggregate principal amount of Debentures at the same price, which can be exercised in whole or in part at any time for a period of 30 days following the closing of the offering.\nChemtrade will use the net proceeds of the offering to pay down senior debt under the Fund's existing credit agreement with the intention of drawing on it to redeem all of the outstanding Chemtrade Electrochem 6.50% convertible unsecured series VI debentures due December 31, 2021 and for general trust purposes.\nThe securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any offer, solicitation or sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.\nAbout Chemtrade\nChemtrade operates a diversified business providing indus...