Extendicare announces C$200 million bought deal private placement equity offering
Torys is acting as counsel to Extendicare with a team that includes Simon Knowling, Robbie Leibel and Sarah Rimer (corporate/Canadian Securities), Chris Bornhorst and Jude Gee (U.S. securities).
On November 19, 2025, Extendicare Inc. (“Extendicare”) announced that it entered into an agreement with a syndicate of underwriters co-led by CIBC Capital Markets, as sole bookrunner, and BMO Capital Markets, pursuant to which the underwriters agreed to purchase, on a “bought deal” private placement basis, 10.64 million common shares of Extendicare at a price of C$18.80 per share, for gross proceeds of approximately C$200 million.
The offering was announced concurrently with Extendicare's announcement that entered into a definitive agreement pursuant to which its wholly-owned home health care subsidiary, ParaMed Inc. would acquire all of the equity interests of CBI Home Health LP and CBI (GP) 3 Inc. and their respective subsidiaries from CBI Health LP and CBI GP Holdco Inc. for a cash purchase price of C$570 million, subject to customary adjustments.
The net proceeds of the offering are expected to be used to partially fund the purchase price for the acquisition.
The offering is expected to close on December 3, 2025.
Further information can be found on Globe Newswire’s website.
Extendicare is a leading provider of care and services for seniors across Canada, operating under the Extendicare, ParaMed, Extendicare Assist, and SGP Purchasing Network brands. Extendicare operates a network of 99 long-term care homes (59 owned, 40 under management contracts), deliver approximately 13.5 million hours of home health care services annually, and provide group purchasing services to third parties representing approximately 152,100 beds across Canada.