Student Transportation completes C$60 million IPS offering
On June 14, 2006, Student Transportation of America Ltd. and Student Transportation of America ULC closed an offering of 4,900,000 income participating securities at a price of C$12.25 per IPS for total gross proceeds of C$60,025,000. The offering was underwritten by a syndicate of underwriters led by CIBC World Markets Inc., and including Sprott Securities Inc., Wellington West Capital Markets Inc. and National Bank Financial Inc.
Student Transportation is the fifth-largest provider of school bus transportation services in North America, and currently operates more than 4,000 school vehicles in North America.
Net proceeds from the financing will be used to repay existing indebtedness incurred in respect of recent acquisitions, including Positive Connections Inc. and Liftlock Coach Lines Limited, and to fund investment requirements of previously announced contract awards and for general corporate purposes.