Morneau Shepell completes bought deal offering

On June 2, 2016, Morneau Shepell Inc. (Morneau Shepell) announced that it completed its previously announced public offering of C$75,000,000 aggregate principal amount of 4.75% convertible unsecured subordinated debentures due June 30, 2021. The offering was underwritten by a syndicate of underwriters co-led by National Bank Financial Inc. and TD Securities Inc. and including CIBC World Markets Inc., Scotia Capital Inc., BMO Nesbitt Burns Inc. and GMP Securities L.P.

Pursuant to the underwriting agreement, on June 8, 2016 the underwriters exercised their option to purchase an additional $11,000,000 aggregate principal amount of debentures as part of the over-allotment option granted by Morneau Shepell under the same terms as the offering. The exercise in full of the over-allotment option increased the total gross proceeds of the offering to C$86,000,000.

The net proceeds from the offering will be used to initially repay indebtedness under Morneau Shepell's revolving credit facility, which will then be available to be drawn, as required, to fund the redemption of the company's 5.75% convertible unsecured subordinated debentures, and for general corporate purposes, including future acquisitions.

Morneau Shepell is the only human resources consulting and technology company that takes an integrative approach to employee assistance, health, benefits and retirement needs. The company is the leading provider of employee and family assistance programs, as well as the largest administrator of retirement and benefits plans and the largest provider of integrated absence management solutions in Canada. Through health and productivity, administrative, and retirement solutions, Morneau Shepell helps clients reduce costs, increase employee productivity and improve their competitive position. Established in 1966, Morneau Shepell serves approximately 20,000 clients, ranging from small businesses to some of the largest corporations and associations in North America. With almost 4,000 employees in offices across North America, Morneau Shepell provides services to organizations across Canada, in the United States, and around the globe.

Further information can be found on Morneau Shepell's website.