Opérations et transactions|17 mai 2011
Student Transportation announces US$60 million bought deal financing of convertible unsecured subordinated debentures
Torys acted as counsel to the underwriting syndicate with a team that included Kevin Morris, Alison Harnick and Leah Frank (corporate), Corrado Cardarelli and Richard Johnson (tax).
On May 17, 2011, Student Transportation Inc. (the Company) (TSX: STB) announced that it has entered into an agreement to sell to a syndicate of underwriters, on a bought deal basis, US$60 million aggregate principal amount of convertible unsecured subordinated debentures due June 30, 2018 (the debentures). The debentures will bear interest at a rate of 6.25% per annum payable semi-annually, and will be convertible at the option of the holder into common shares of the Company at a conversion rate of 105.2632 common shares per US$1,000 principal amount of debentures, which is equal to a conversion price of US$9.50 per common share.
The syndicate of underwriters are led by Scotia Capital Inc. and National Bank Financial Inc., and including BMO Capital Markets, CIBC, Raymond James Ltd. and Wellington West Capital Markets Inc. The offering is expected to close on or about June 7, 2011.
The debentures will be offered by way of a short form prospectus in each province and territory of Canada, and in the United States on a private placement basis pursuant to an exemption from the registration requirements of the U.S Securities Act. The net proceeds of the offering will be used to repay debt and for general corporate purposes.
Student Transportation, headquartered in Barrie, Ontario, is a provider of school bus transportation services, operating more than 7,000 vehicles.
Further information is found Student Transportation's website.
The syndicate of underwriters are led by Scotia Capital Inc. and National Bank Financial Inc., and including BMO Capital Markets, CIBC, Raymond James Ltd. and Wellington West Capital Markets Inc. The offering is expected to close on or about June 7, 2011.
The debentures will be offered by way of a short form prospectus in each province and territory of Canada, and in the United States on a private placement basis pursuant to an exemption from the registration requirements of the U.S Securities Act. The net proceeds of the offering will be used to repay debt and for general corporate purposes.
Student Transportation, headquartered in Barrie, Ontario, is a provider of school bus transportation services, operating more than 7,000 vehicles.
Further information is found Student Transportation's website.