Bombardier Announces Launch of its New Issuance of Senior Notes due 2026
Bombardier has launched an offering of US$1 billion in new Senior Notes due 2026. The net proceeds will primarily fund a tender offer for outstanding Senior Notes due 2022 and 2023, with remaining funds allocated to general corporate purposes, including debt repayment. However, the success of these transactions is subject to market conditions, presenting risks for completion as outlined in the press release.
- Launch of US$1 billion Senior Notes offering is a significant capital move.
- Proceeds aimed at refinancing high-interest debt, potentially lowering interest expenses.
- Completion of the offering and tender offer depends on market conditions, introducing uncertainty.
- No guarantee that Bombardier will successfully execute the transactions as planned.
MONTREAL, June 03, 2021 (GLOBE NEWSWIRE) -- Bombardier Inc. (“Bombardier”) today announced that it has launched an offering of US
The net proceeds of the offering of New Notes are expected to be used to finance Bombardier’s tender offer for certain of its outstanding
Consummation of the offering of the New Notes and of the Tender Offer are subject to market and other conditions, and there can be no assurance that Bombardier will be able to successfully complete these transactions on the terms described above, or at all.
This press release does not constitute an offer to sell or buy or the solicitation of an offer to buy or sell any security and shall not constitute an offer, solicitation, sale or purchase of any securities in any jurisdiction in which such offering, solicitation, sale or purchase would be unlawful.
The New Notes mentioned herein have not been and will not be registered under the United States Securities Act of 1933, as amended, any state securities laws or the laws of any other jurisdiction, and may not be offered or sold in the United States absent registration or an applicable exemption from such registration requirements. The New Notes mentioned herein may be offered and sold in the United States only to persons reasonably believed to be qualified institutional buyers in accordance with Rule 144A under the U.S. Securities Act and outside the United States in reliance on Regulation S under the U.S. Securities Act. The New Notes mentioned herein have not been and will not be qualified for distribution to the public under applicable Canadian securities laws and, accordingly, any offer and sale of the securities in Canada will be made on a basis which is exempt from the prospectus requirements of such securities laws. The New Notes will be offered and sold in Canada on a private placement basis only to “accredited investors” pursuant to certain prospectus exemptions.
The Tender Offer mentioned herein will be conducted in accordance with a separate Offer to Purchase relating thereto, which contains the terms and conditions of such Tender Offer, subject to amendment or waiver by Bombardier, which include, among other things, an aggregate total tender purchase price, a cap on the aggregate purchase price for the 2023 Notes, priorities among series of notes, possible proration, an early tender premium and a financing condition relating to completion of the offering of New Notes.
FORWARD-LOOKING STATEMENTS
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 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 |
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