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Chorus Aviation announces $100 million bought deal public offering and a concurrent $30 million private placement from AIMCo and NordStar Capital
Chorus Aviation announces $100 million bought deal public offering and a concurrent $30 m...
About this update from Chorus Aviation Inc.
[{"type":"text","content":"\n \n \n \n Chorus Aviation announces $100 million bought deal public offering and a concurrent $30 million private placement from AIMCo and NordStar Capital\n \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 Canada NewsWire\n \n \n \n \n \n /NOT FOR DISTRIBUTION IN\n \n THE UNITED STATES\n \n OR OVER\n \n UNITED STATES\n \n WIRE SERVICES/\n \n \n \n \n HALIFAX, NS\n \n ,\n \n March 16, 2021\n \n /CNW/ - Chorus Aviation Inc. (\"Chorus\" or the \"Company\") (TSX: CHR) announced today that it has entered into an agreement with a syndicate of underwriters led by RBC Capital Markets, as bookrunner, under which they have agreed to purchase from Chorus and sell to the public\n \n $50 million\n \n units of Chorus (the \"Units\") at a price of\n \n $4.60\n \n per Unit (the \"Unit Price\") and\n \n $50 million\n \n aggregate principal amount of convertible senior unsecured debentures at a price of\n \n $1,000\n \n per debenture, with an interest rate of 6% per annum, payable semi-annually on the last day of June and December commencing on\n \n December 31, 2021\n \n and maturing on\n \n June 30, 2026\n \n (the \"Debentures\"), resulting in combined gross proceeds to Chorus of\n \n $100 million\n \n (the \"Offering\"). If the Over-Allotment Option, as defined hereinafter, is exercised in full, gross proceeds to Chorus will amount to\n \n $115 million\n \n .\n \n \n Concurrently, Chorus has entered into agreements with Alberta Investment Management Corporation (\"AIMCo\"), on behalf of certain of its clients, and NordStar Capital to purchase from Chorus an aggregate of\n \n $15 million\n \n of Units at the Unit Price and\n \n $15 million\n \n aggregate principal amount of Debentures at a price of\n \n $1,000\n \n per Debenture (the \"Private Placement\").\n \n \n The net proceeds of the Offering and concurrent Private Placement will be used to position Chorus to pursue growth opportunities (including purchasing additional aircraft to continue expanding the Company's regional aircraft leasing business, and expanding into additional contracted flying operations), provid...