This release is intended for distribution in Canada only and is not
intended for distribution to United States newswire services or for
dissemination in the United States
MONTREAL, Sept. 7, 2011 /CNW Telbec/ - TransForce Inc. (TSX: TFI) announced today that it has completed its
previously-announced bought-deal public offering by issuing 5.65%
convertible unsecured subordinated debentures in an aggregate principal
amount of $85 million. The convertible debentures have been approved
for listing on the Toronto Stock Exchange and will commence trading
today under the symbol "TFI.DB.A".
The convertible debentures were sold to a syndicate of underwriters
co-led by National Bank Financial Inc. and RBC Dominion Securities
Inc., acting as joint book-runners, and including BMO Nesbitt Burns
Inc., Desjardins Securities Inc., CIBC World Markets Inc.,
Scotia Capital Inc., TD Securities Inc. and Cormark Securities Inc.
TransForce intends to use the net proceeds of the offering for general
corporate purposes, to support its program of strategic acquisitions
and to reduce indebtedness.
The convertible debentures bear interest at a rate of 5.65% per annum,
payable semi-annually in arrears on March 31 and September 30 each
year, commencing on March 31, 2012. The convertible debentures are
convertible at the holder's option into TransForce common shares at a
conversion price of $22.10 per share, representing a conversion rate of
45.2489 TransForce shares per $1,000 principal amount of convertible
debentures. The convertible debentures will mature on September 30,
2018 and may be redeemed by TransForce, in certain circumstances, after
September 30, 2014.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities in any jurisdiction.
The convertible debentures offered, and the common shares issuable upon
the conversion or redemption of the convertible debentures, have not
been and will not be registered under the U.S. Securities Act of 1933
or state securities laws. Accordingly, the convertible debentures may
not be offered or sold to U.S. persons except pursuant to applicable
exemptions from registration.
TransForce Inc. is a North American leader in the transportation and
logistics industry. Operating across Canada and the United States,
TransForce creates value for shareholders by identifying strategic
acquisitions and managing a growing network of wholly-owned, operating
subsidiaries. Under the TransForce umbrella, companies benefit from
corporate financial and operational resources to build their businesses
and increase their efficiency. TransForce companies service four
well-defined reportable segments:
Package and Courier;
Truckload, which includes specialized truckload and dedicated services;
Specialized Services, which includes waste management, energy sector
services, logistics and ancillary transportation services.
TransForce Inc. (TFI) is publicly traded on the Toronto Stock Exchange
(TSX). For more information, visit http://www.transforcecompany.com.
Except for historical information provided herein, this press release
may contain information and statements of a forward-looking nature
concerning the future performance of TransForce. These statements are
based on suppositions and uncertainties as well as on management's best
possible evaluation of future events. Such factors may include,
without excluding other considerations, fluctuations in quarterly
results, evolution in customer demand for TransForce's products and
services, the impact of price pressures exerted by competitors, and
general market trends or economic changes. As a result, readers are
advised that actual results may differ from expected results.
SOURCE TransForce Inc.
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