TORONTO, July 16, 2014 /CNW/ - IBI Group Inc. ("IBI" or the "Company")
(TSX: IBG) is pleased to announce that the holders of its 7.0%
convertible unsecured subordinated debentures (the "Debentures") have
approved the proposed amendments to the Debentures (the "Debenture
Amendments") at the special meeting of debentureholders held today. As
a result, the maturity date of the Debentures will be extended from
December 31, 2014 to June 30, 2019 for all Debentureholders.
Approximately 71.2% of the aggregate principal amount of the Debentures
were represented at the meeting in person or by proxy.
"The successful passage of the Debenture Amendments marks an important
milestone in IBI Group's recapitalization plan and we thank
debentureholders for their support. The extension will allow IBI Group
the time we need to continue executing our strategic initiatives," said
Scott Stewart, Chief Executive Officer of IBI Group. "We are pleased
that our efforts to-date have produced operational improvements, growth
in committed work for 2014 and beyond, and a renewed and refocused
company. The Board and management of the Company intend to continue
pursuing a strategy focused on long-term value creation for the benefit
of all security holders."
Debentureholders who delivered and did not withdraw a valid proxy voting
for the Debenture Amendments prior to the proxy deadline will receive,
based on their election, either:
Option A - Promissory Note: A consent fee, consisting of an unsecured, non-convertible promissory
note equal to $195.65 per $1,000 principal amount of Debentures,
payable December 31, 2016 and bearing interest at the rate of 7.0% per
annum and payable on maturity; or
Option B - Promissory Note + Reduced Conversion Price: (i) A consent fee, consisting of an unsecured, non-convertible
promissory note equal to $86.96 per $1,000 principal amount of
Debentures, payable December 31, 2016 and bearing interest at the rate
of 7.0% per annum and payable on maturity and (ii) the reduction of the
conversion price for the Debentures to $5.00 per common share from
$19.17 per common share.
Debentureholders who did not deposit a proxy, abstained from voting on
the Debenture Amendments or voted against the Debenture Amendments,
will receive the benefit of the reduction of the conversion price to
$5.00 per share from $19.17 per share.
The consent fee will be issued to eligible Debentureholders as soon as
practicable following confirmation of their entitlements.
About IBI Group Inc.:
The Company is a TSX listed corporation and its common shares trade
under the symbol "IBG".
IBI Group is a globally integrated architecture, planning, engineering,
and technology firm with over 2,600 professionals around the world. For
more than 40 years, our dedicated professionals have helped clients
create livable, sustainable, and advanced urban environments. We are
one of the largest architecture firms in the world, and more than 300
of our staff architects, planners, designers and engineers are LEED
From high-rises to industrial buildings, schools to state-of-the-art
hospitals, transit stations to highways, airports to toll systems, bike
lanes to parks, we design every aspect of a truly integrated city for
people to live, work, and play.
We organize our expertise into three areas:
Intelligence: systems designer, software development.
Buildings: building architecture, building engineering (mechanical,
Infrastructure: planning, urban design, landscape architecture,
transportation, and engineering.
Our collaborative and combined approach focuses not only on creating the
best solutions today, but also creating the right solutions for
We believe cities must be designed with intelligent systems, sustainable
buildings, efficient infrastructure, and a human touch.
At IBI, we're defining the cities of tomorrow.
SOURCE: IBI Group Inc.
For further information:
IBI Group Inc.
230 Richmond Street West, 5th Floor
Toronto, ON M5V 1V6
Tel: 416-596-1930, Fax: 416-596-8024
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