Business
Kruger Products Prices Senior Unsecured Notes
NOT FOR DISTRIBUTION TO NEWSWIRE SERVICES IN U.S. OR FOR DISSEMINATION IN U.S. MISSISSAUGA, O...
About this update from Kp Tissue, Inc.
[{"type":"text","content":"Kruger Products Prices Senior Unsecured Notes\n\n\n\n NOT FOR DISTRIBUTION TO NEWSWIRE SERVICES IN U.S. OR FOR DISSEMINATION IN U.S.\n \n\n MISSISSAUGA, Ontario, Dec. 03, 2025 (GLOBE NEWSWIRE) -- KP Tissue Inc. (KPT) (TSX: KPT) announced today that Kruger Products Inc. (“KPI”) has, pursuant to an underwriting agreement entered into today, agreed to issue and sell CDN $165 million principal amount of 6.250% Senior Unsecured Notes (the “Notes”) due December 10, 2032 by way of private placement (the “Offering”). Interest on the Notes is payable semi-annually in arrears on June 10 and December 10 of each year, commencing on June 10, 2026.\n \n\n National Bank Capital Markets, CIBC Capital Markets, Scotiabank and Desjardins Capital Markets are acting as joint book-running managers for the Offering. The Offering is expected to close on December 10, 2025, subject to customary closing conditions.\n \n\n In connection with the Offering, Kruger Products SB Inc. (“KPSB”) will become a restricted subsidiary under KPI’s senior credit facility, the indenture governing the Notes and the indentures governing KPI’s outstanding notes. KPI intends to use the net proceeds of the Offering to fund the repayment in full of the borrowings outstanding under KPSB’s senior credit facilities and for general corporate purposes.\n \n\n The Notes will be unsecured obligations of KPI and unconditionally guaranteed, jointly and severally, by certain subsidiaries of KPI (including KPSB), being the same guarantors as under KPI’s syndicated credit facility (including as a result of KPSB’s designation as a restricted subsidiary). The Notes will rank senior in right of payment to all existing and future subordinated indebtedness of KPI and equal in right of payment to all indebtedness of KPI that is not subordinated in right of payment to the Notes other than any indebtedness that ranks senior to the Notes by operation of law.\n \n\n The offer and sale of the Notes have not been and will not be registered under the\n \n United States Securities Act of 1933\n \n , as amended (the “Securities Act”), or applicable state securities laws, and the Notes may not be offered or sold in the United States absent registration or an applicable exemption from the registra...