Bombardier Announces Pricing of its New Issuance of 5.875% Senior Notes due 2035

Rhea-AI Summary

Bombardier (OTC:BDRBF) priced US$500,000,000 of 5.875% senior notes due 2035, sold at par, with expected closing on or about May 15, 2026. Proceeds, together with cash on hand, are intended to fund repayment/retirement of outstanding indebtedness and related fees, including a conditional redemption of its 7.50% notes due 2029.

The company disclosed US$750,000,000 principal outstanding on the 2029 notes and warned the transactions are subject to market and customary closing conditions.

Positive

• Priced $500,000,000 of senior notes due 2035 at a 5.875% coupon
• Expected closing on or about May 15, 2026
• Proceeds intended to repay outstanding debt including a planned redemption of 2029 notes

Negative

• $750,000,000 aggregate principal remains outstanding on 2029 notes, exceeding the new issuance size
• Consummation and Conditional 2029 Notes Redemption are subject to market and customary closing conditions
• New notes issuance may not complete on the described terms or at all

News Market Reaction – BDRBF

+1.41%

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In the May 5 session, BDRBF gained 1.41%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

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MONTRÉAL, May 04, 2026 (GLOBE NEWSWIRE) -- Bombardier Inc. (“Bombardier”) today announced that it has successfully priced its offering of US$500,000,000 aggregate principal amount of new Senior Notes due 2035 (the “New Notes”). The New Notes will carry a coupon of 5.875% per annum and will be sold at par. The issuance of the New Notes is expected to close on or about May 15, 2026, subject to customary closing conditions.

Bombardier intends to use the proceeds of the offering of the New Notes, together with cash on hand, (i) to fund the repayment and/or retirement of outstanding indebtedness, including the redemption of all of its outstanding 7.50% Senior Notes due 2029 (the “2029 Notes”, and such redemption, the “Conditional 2029 Notes Redemption”), and (ii) to pay accrued interest and related fees and expenses. As of the date hereof, there is US$750,000,000 aggregate principal amount outstanding of the 2029 Notes.

Consummation of the offering of the New Notes and the Conditional 2029 Notes Redemption 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. The Conditional 2029 Notes Redemption is expected to be subject to certain conditions, including the completion of the offering of the New Notes.

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 securities 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 securities 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 securities 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 securities will be offered and sold in Canada on a private placement basis only to “accredited investors” pursuant to certain prospectus exemptions.

This announcement does not constitute an offer to sell or the solicitation of an offer to buy the New Notes or an offer to purchase or solicitation of an offer to sell the 2029 Notes. This announcement does not constitute a redemption notice in respect of any 2029 Notes. Any redemption of the 2029 Notes will be made pursuant to a notice of redemption under the indenture governing such 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 +1 514 954 1715

Mark Masluch Senior Director, Communications Bombardier +1 514 855 7167

FAQ

What did Bombardier (BDRBF) announce about its new 5.875% senior notes due 2035 on May 4, 2026?

Bombardier priced $500,000,000 of 5.875% senior notes due 2035, sold at par, with expected closing on or about May 15, 2026. According to Bombardier, proceeds are intended to fund debt repayment and related fees.

How will the new BDRBF 2035 notes affect the company’s 7.50% senior notes due 2029?

Bombardier intends to use proceeds plus cash on hand to fund the repayment and/or retirement of outstanding indebtedness, including a conditional redemption of the 2029 notes. According to Bombardier, the redemption is subject to completion of the new notes offering and other conditions.

When is the expected closing date for Bombardier’s new 5.875% notes (BDRBF) priced May 4, 2026?

The company expects the offering to close on or about May 15, 2026. According to Bombardier, closing remains subject to customary conditions and market factors, so the date could change if conditions are not met.

What is the size of Bombardier’s outstanding 2029 notes compared with the new 2035 issuance?

As of the announcement date Bombardier reported $750,000,000 outstanding on the 7.50% senior notes due 2029 versus $500,000,000 issued for the 2035 notes. According to Bombardier, the 2035 issuance may be used toward repayment but does not equal the full 2029 balance.

Are Bombardier’s new 2035 notes (BDRBF) registered for public sale in the United States or Canada?

Bombardier stated the securities have not been and will not be registered under the U.S. Securities Act and will be offered only to qualified institutional buyers under Rule 144A or outside the U.S. under Regulation S; Canadian offers are private placement exemptions, according to Bombardier.