Rogers Sugar Income Fund

Rogers Sugar Income Fund

April 08, 2010 09:04 ET

Rogers Sugar Income Fund Announces Closing of a $50 Million Offering of Convertible Debentures

MONTRÉAL, QUÉBEC--(Marketwire - April 8, 2010) -


Rogers Sugar Income Fund (the "Fund") (TSX:RSI.UN) announced the closing of its previously announced public offering of $50 million principal amount of 5.70% convertible unsecured subordinated debentures, which are convertible at the option of the holder into trust units of the Fund on the earlier of the maturity date and the business day immediately preceding the date fixed by the Fund for redemption, at a conversion price of $6.50 per trust unit. Interest on the debentures is payable semi-annually on April 30 and October 31, commencing on October 31, 2010. The debentures will mature on April 30, 2017. 

The offering was completed on a bought deal basis through a syndicate of underwriters co-led by BMO Capital markets and TD Securities Inc., and including Scotia Capital Inc., National Bank Financial Inc. and RBC Dominion Securities Inc.

The net proceeds of the offering will be used to redeem all of the outstanding $50 million principal amount of the 6.00% convertible unsecured subordinated debentures of the Fund due June 29, 2012. The redemption is intended to take place on or about June 29, 2010.

About Rogers Sugar Income Fund

The Fund is an open-ended, limited purpose trust established under the laws of the Province of Ontario. The Fund holds all of the common shares of Lantic Inc. Lantic Inc. operates cane sugar refineries in Montreal, Quebec and Vancouver, British Columbia, as well as the only Canadian sugar beet processing facility in Taber, Alberta. Lantic Inc.'s sugar products are marketed under the "Lantic" trademark in Eastern Canada, and the "Rogers" trademark in Western Canada, and include granulated, icing, cube, yellow and brown sugars, liquid sugars and specialty syrups.

This document may contain forward-looking statements, relating to the Fund's operations or to the environment in which it operates, which are based on the Fund's operations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict, and/or are beyond the Fund's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. These factors include those set forth in other public filings. In addition, these forward-looking statements relate to the date on which they are made. The Fund disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable laws.

The debentures and the units issued upon conversion of the debentures have not been and will not be registered under the United States Securities Act of 1933 and accordingly will not be offered, sold or delivered, directly or indirectly within the United States, its possessions and other areas subject to its jurisdiction or to, or for the account or for the benefit of a U.S. person.

Contact Information

  • Mr. Daniel L. Lafrance
    Senior Vice-President Finance and CFO of Lantic Inc.
    Administrator of Rogers Sugar Income Fund