Superior Plus Corp.

Superior Plus Corp.

October 04, 2011 08:44 ET

Superior Plus Announces Completion of Convertible Debenture Financing and Redemption of Existing Convertible Debentures

CALGARY, ALBERTA--(Marketwire - Oct. 4, 2011) -


Superior Plus Corp. (TSX:SPB) ("Superior" or the "Corporation") is pleased to announce the successful closing of the previously announced issue of $75,000,000 aggregate principal amount of 7.50% convertible unsecured subordinated debentures (the "Debentures") at a price of $1,000 per Debenture. The Debentures were offered to the public through a syndicate of underwriters co-led by CIBC, BMO Capital Markets, National Bank Financial Inc., Scotia Capital Inc., TD Securities Inc., and including Cormark Securities Inc. (collectively, the "Underwriters"). The Underwriters maintain an over-allotment option to purchase up to an additional $11,250,000 aggregate principal amount of Debentures at the same price, exercisable in whole or in part at any time for a period of up to 30 days following October 4, 2011. The Debentures are listed on the Toronto Stock Exchange under the symbol "SPB.DB.G".

Superior also announces that it has provided notice that it will redeem $75 million principal amount of its previously issued 5.75% convertible subordinated debentures due December 31, 2012 (the "2012 Debentures") on November 7, 2011. As previously announced, Superior will use the net proceeds from the Offering and funds from its bank facility to fund the redemption of the 2012 Debentures. The 2012 Debentures will, in accordance with their terms, be redeemed at the redemption price of $1,000 in cash per $1,000 principal amount of 2012 Debentures plus accrued and unpaid interest up to but excluding the redemption date.

Wayne Bingham, Executive Vice-President and Chief Financial Officer stated "We are extremely pleased with the successful financing and our ability to proactively reduce our 2012 debt maturity schedule by $75 million. Our plan to finance and early redeem the 2012 Debentures in tranches was implemented to minimize the potential impact of the widespread uncertainty we currently see in international capital markets. Our financial position remains solid with approximately $270 million of unutilized capacity on our syndicated bank facility."

About the Corporation

Superior consists of three primary operating businesses: Energy Services includes the distribution of propane and distillates, providing fixed-price energy services, and supply portfolio management; Specialty Chemicals includes the manufacture and sale of specialty chemicals; and Construction Products Distribution includes the distribution of specialty construction products.

Forward Looking Information

Certain information included in this Press Release is forward-looking, within the meaning of applicable Canadian securities laws. Much of this information can be identified by looking for words such as "believe", "expects", "expected", "will", "intends", "projects", "anticipates", "estimates", "continues" or similar words. In particular, this press release includes forward looking information pertaining to the proposed redemption of Superior's 2012 Debentures. Superior believes the expectations reflected in such forward-looking information are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon.

Forward-looking information is based on current information and expectations that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated. Forward looking information contained in this press release is made as of the date hereof and is subject to change. The Corporation assumes no obligation to revise or update forward looking information to reflect new circumstances, except as required by law. Forward-looking information is provided for the purposes of providing information about management's current expectations and plans about the future. Reliance on such information may not be appropriate for other purposes, such as making investment decisions.

Contact Information

  • Superior Plus Corp.
    Wayne Bingham
    Executive Vice-President and Chief Financial Officer
    (403) 218-2951 or Toll Free: 1-866-490-PLUS (7587)
    (403) 218-2973 (FAX)

    Superior Plus Corp.
    Jay Bachman
    Vice-President, Investor Relations and Treasurer
    (403) 218-2957 or Toll Free: 1-866-490-PLUS (7587)
    (403) 218-2973 (FAX)