Bombardier Announces a One-Day Extension to its Cash Tender Offer

Rhea-AI Summary

Bombardier has extended its cash tender offer by one business day to July 1, 2021, allowing the purchase of up to US$1 billion in senior notes due 2022 and 2023.

This extension was prompted by a federal holiday in the U.S. on June 18, 2021. The tender offer terms remain subject to conditions outlined in the Offer to Purchase document dated June 3, 2021, as amended. Investors are advised to consult their brokers for tendering instructions and potential fees associated with the process.

Positive

• Extension of cash tender offer provides additional opportunity for noteholders.
• Potential for up to US$1 billion in notes to be purchased, enhancing liquidity.

Negative

• Dependence on market conditions for successful completion of the tender offer.
• Nature of forward-looking statements introduces uncertainty for investors.

MONTRÉAL, June 25, 2021 (GLOBE NEWSWIRE) -- Bombardier Inc. (“Bombardier” or the “Corporation”) today announced a one-business day extension with respect to its cash tender offer previously announced on June 3, 2021 (the “Tender Offer”) to purchase for cash up to US$1,000,000,000 aggregate purchase price (exclusive of Accrued Interest) (as such aggregate purchase price may be increased or decreased by the Corporation, the “Aggregate Maximum Purchase Amount”) of three series of its outstanding senior notes (collectively, the “Notes”) due 2022 and 2023 as identified in the Offer to Purchase (as defined below), subject to the Acceptance Priority Levels and the 2023 Tender Cap (as such 2023 Tender Cap may be increased or decreased by the Corporation, including the increase announced on June 16, 2021), as applicable, and possible proration, as set forth in the Offer to Purchase containing the terms and conditions of the Tender Offer. Capitalized terms used but not defined herein shall have the meanings assigned to such terms in the Offer to Purchase dated June 3, 2021 (as amended on June 16, 2021 and as further amended hereby, the “Offer to Purchase”) with respect to the Tender Offer.

The Tender Offer and the Offer to Purchase are hereby amended as follows:

• The expiration date of the Tender Offer shall be extended by one U.S. federal business day to July 1, 2021, due to the fact that on June 17, 2021, the United States declared June 18, 2021 to be a federal holiday in the United States.
  

Except as expressly set forth herein, the terms and conditions with respect to the Tender Offer are as set forth in the Offer to Purchase, subject to the Corporation’s right to further waive, amend or terminate any provisions of the Tender Offer, in the Corporation’s sole and absolute discretion.

The obligation of the Corporation to accept for purchase, and to pay for, Notes validly tendered pursuant to the Tender Offer is subject to, and conditioned upon, the satisfaction or waiver of certain conditions as set forth in the Offer to Purchase, in the sole and absolute discretion of the Corporation.

None of Bombardier, the trustees for the Notes, the agents under the respective indentures for the Notes, the dealer managers, the information and tender agent, any of their respective subsidiaries or affiliates or any of its or their respective directors, officers, employees or representatives makes any recommendation to Holders as to whether or not to tender all or any portion of their Notes, and none of the foregoing has authorized any person to make any such recommendation. Holders must decide whether to tender Notes, and if tendering, the amount of Notes to tender.

All of the Notes are held in book-entry form. If you hold Notes through a broker, dealer, commercial bank, trust company or other nominee, you must contact such broker, dealer, commercial bank, trust company or other nominee if you wish to tender Notes pursuant to the Tender Offer. You should check with such broker, dealer, commercial bank, trust company or other nominee to determine whether they will charge you a fee for tendering Notes on your behalf. You should also confirm with the broker, dealer, bank, trust company or other nominee any deadlines by which you must provide your tender instructions, because the relevant deadline set by such nominee may be earlier than the deadlines set forth in the Offer to Purchase.

Bombardier has retained J.P. Morgan Securities LLC and Deutsche Bank Securities Inc. to serve as dealer managers for the Tender Offer. Bombardier has retained Global Bondholder Services Corporation to act as the information and tender agent in respect of the Tender Offer.

For additional information regarding the terms of the Tender Offer, please contact J.P. Morgan Securities LLC and Deutsche Bank Securities Inc. at their respective telephone numbers set forth on the back cover page of the Offer to Purchase. Copies of the Offer to Purchase may be obtained at www.gbsc-usa.com/bombardier/ or by contacting Global Bondholder Services Corporation at (866) 807 2200 or by email at contact@gbsc-usa.com.

This notice does not constitute or form part of any offer or invitation to purchase, or any solicitation of any offer to sell, the Notes or any other securities in the United States or any other jurisdiction, and neither this notice nor any part of it, nor the fact of its release, shall form the basis of, or be relied on or in connection with, any contract therefor. The Tender Offer is made only by and pursuant to the terms and conditions of the Offer to Purchase and the information in this notice is qualified by reference to the Offer to Purchase. None of the Corporation, the dealer managers or the information and tender agent makes any recommendations as to whether Holders should tender their Notes pursuant to the Tender Offer.

This announcement does not constitute an offer to buy or the solicitation of an offer to sell any securities in any jurisdiction or in any circumstances in which such offer or solicitation is unlawful. In those jurisdictions where the securities, blue sky or other laws require the Tender Offer to be made by a licensed broker or dealer, the Tender Offer will be deemed to be made by the dealer managers or one or more registered brokers or dealers licensed under the laws of such jurisdiction.

Certain statements in this announcement are forward-looking statements based on current expectations. By their nature, forward‑looking statements require us to make assumptions and are subject to important known and unknown risks and uncertainties, which may cause our actual results in future periods to differ materially from those set forth in the forward-looking statements. For additional information regarding these risks and uncertainties, and the assumptions underlying the forward‑looking statements, please refer to the Offer to Purchase.

For information

Francis Richer de La Flèche Vice President, Financial Planning and Investor Relations Bombardier +514 855 5001 x13228

Mark Masluch Senior Director, Communications Bombardier +514 855 7167

FAQ

What is the new expiration date for Bombardier's cash tender offer?

The new expiration date for Bombardier's cash tender offer is July 1, 2021.

How much is Bombardier offering to purchase in its cash tender offer?

Bombardier is offering to purchase up to US$1 billion in senior notes.

What prompted the extension of Bombardier's tender offer?

The extension was prompted by a federal holiday in the U.S. on June 18, 2021.

What series of notes are included in Bombardier's tender offer?

The tender offer includes senior notes due in 2022 and 2023.

What are the conditions for Bombardier to accept notes in the tender offer?

Acceptance of notes is subject to certain conditions outlined in the Offer to Purchase.