Bombardier Inc. (“Bombardier”) announced that it has successfully closed its previously announced offering of US$500 million aggregate principal amount of Senior Notes due 2033 (the “New Notes”).
The New Notes carry a coupon of 6.750% per annum, mature on June 15, 2033 and were sold at par.
Bombardier intends to use the proceeds of the offering of the New Notes, together with cash on hand, (i) to fund the repayment and/or retirement of outstanding indebtedness, including the redemption of US$500 million aggregate principal amount of its outstanding 7.875% Senior Notes due 2027 (the “2027 Notes”), and (ii) to pay accrued interest and related fees and expenses.
As of the date hereof, prior to giving effect to this redemption, there is US$683,142,000 aggregate principal amount outstanding of the 2027 Notes.
The redemption is expected to be completed on June 13, 2025, in accordance with the notice of partial redemption that Bombardier issued on May 14, 2025.
