Cineplex Inc.’s Private Placement Offering of Senior Secured Second Lien Notes
Goodmans LLP acted for Cineplex Inc. ("Cineplex" or the "Company") (TSX: CGX) in relation to its private placement offering of $250 million aggregate principal amount of 7.5% senior secured second lien notes due February 26, 2026 (the "Notes" ).
The Notes Offering was underwritten by BMO Capital Markets and Scotiabank, as joint bookrunning managers, and RBC Capital Markets, as co-lead manager, in a syndicate that included CIBC Capital Markets, National Bank Financial Markets and TD Securities.
The Company used the net proceeds of the Notes Offering to repay indebtedness under its credit facilities, of which $50 million constituted a permanent repayment under the Company's term facility and an additional $50 million constituted a permanent repayment under the Company's revolving credit facility (the "Revolving Facility"). The remaining $144 million balance of the net proceeds of the Notes Offering was used to pay down the Revolving Facility, however may be redrawn to fund the ongoing liquidity needs of the Company.Expertise
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