Chesswood Group Limited
TSX : CHW

Chesswood Group Limited

December 16, 2013 08:34 ET

Chesswood Group Limited Announces Closing of C$20 Million Bought Deal Offering of Convertible Debentures

TORONTO, ONTARIO--(Marketwired - Dec. 16, 2013) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

Chesswood Group Limited ("Chesswood") (TSX:CHW) is pleased to announce that it has completed its previously announced offering of C$20 million aggregate principal amount of 6.50% convertible unsecured subordinated debentures due December 31, 2018 (the "Debentures") issued at par at a price of C$1,000 per Debenture (the "Offering"). The Debentures have been listed on the Toronto Stock Exchange under the symbol CHW.DB.

The Offering was completed on a bought deal basis and was underwritten by a syndicate of underwriters co-led by National Bank Financial Inc. and RBC Capital Markets, and including Cormark Securities Inc. and Canaccord Genuity Corp. As previously announced, Chesswood intends to use the net proceeds from the Offering to fund acquisitions, to fund growth in the finance portfolios of Chesswood's operating subsidiaries and to pay down debt of Chesswood and/or its operating subsidiaries.

Neither the Debentures nor the shares issuable upon conversion have been or will be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements under that Act. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities in any jurisdiction.

About Chesswood Group Limited

Chesswood Group Limited is a financial services company with operating businesses in both Canada and the U.S.

To learn more about Chesswood Group Limited, visit www.ChesswoodGroup.com . The separate websites of Chesswood Group Limited's operating businesses are at www.PawneeLeasing.com, www.CaseFunding.com, www.AcuraSherway.com and www.cars4U.com .

This press release contains forward-looking statements that involve a number of risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. Many factors could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements.

NO STOCK EXCHANGE, SECURITIES COMMISSION OR OTHER REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED THE INFORMATION CONTAINED HEREIN.

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