Bombardier Announces Expiration of its Cash Tender Offer for Certain Outstanding Senior Notes

Rhea-AI Summary

Bombardier announced the expiration of its cash tender offer to purchase up to US$1 billion in senior notes due 2022 and 2023. The offer, initiated on June 3, 2021, allowed for purchases of notes totaling US$88.36 million of 5.750% notes, US$210.18 million of 6.000% notes, and US$489.94 million of 6.125% notes. Additional valid tenders were accepted prior to expiration, with a Final Settlement Date expected on July 6, 2021.

This announcement does not constitute a securities offer and includes forward-looking statements subject to risks.

Positive

• Successfully purchased US$788,484,000 of senior notes, indicating strong liquidity management.
• The tender offer attracted additional valid tenders before the expiration date, showcasing investor interest.

Negative

• The remaining US$212,516,000 of the US$1 billion target was not purchased, indicating potential liquidity constraints.

MONTRÉAL, July 02, 2021 (GLOBE NEWSWIRE) -- Bombardier Inc. (“Bombardier” or the “Corporation”) announced today that its cash tender offer previously announced on June 3, 2021 (as amended by the Corporation’s press release dated June 17, 2021 and as further amended by the Corporation’s press release dated June 25, 2021, the “Tender Offer”) to purchase for cash up to US$1,000,000,000 aggregate purchase price (exclusive of Accrued Interest) (the “Aggregate Maximum Purchase Amount”) of three series of its outstanding senior notes (collectively, “Notes”) due 2022 and 2023 as identified in the Offer to Purchase (as defined below), expired at the Expiration Date, 11:59 P.M., New York City time, on July 1, 2021. 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 by the Corporation’s press release dated June 17, 2021 and as further amended by the Corporation’s press release dated June 25, 2021, the “Offer to Purchase”) with respect to the Tender Offer.

On the Early Settlement Date, June 18, 2021, the Company accepted for purchase and purchased, US$88,364,000.00 aggregate principal amount of the 5.750% Senior Notes due 2022 (48.77%), US$210,183,000.00 aggregate principal amount of the 6.000% Senior Notes due 2022 (17.52%) and US$489,937,000.00 aggregate principal amount of the 6.125% Senior Notes due 2023 (47.85%).

After the Early Tender Date, but at or prior to the Expiration Date for the Tender Offer, an additional US$939,000.00 aggregate principal amount of 5.750% Senior Notes due 2022 were validly tendered and not validly withdrawn, and an additional US$434,000.00 aggregate principal amount of 6.000% Senior Notes due 2022 were validly tendered and not validly withdrawn.

In accordance with the terms of the Tender Offer as set forth in the Offer to Purchase and as permitted by applicable law, all additional Notes that were validly tendered after the Early Tender Date, but at or prior to the Expiration Date, will be accepted for purchase by Bombardier, upon the terms and conditions contained in the Offer to Purchase, on the Final Settlement Date.

All such Notes that are being accepted for purchase by the Corporation will be settled on the Final Settlement Date in accordance with the terms of the Tender Offer as set forth in the Offer to Purchase. Bombardier expects such Final Settlement Date to be July 6, 2021.

This announcement does not constitute an offer to buy or sell or the solicitation of an offer to sell or buy any securities.

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 was the expiration date of Bombardier's tender offer for notes BDRBF?

The expiration date was July 1, 2021.

How much did Bombardier purchase in its tender offer for senior notes BDRBF?

Bombardier purchased a total of US$788,484,000 in senior notes.

What is the Final Settlement Date for Bombardier's tender offer BDRBF?

The Final Settlement Date is expected to be July 6, 2021.

How much of the US$1 billion tender offer for BDRBF was not accepted?

A total of US$212,516,000 was not accepted in the tender offer.