/NOT FOR DISTRIBUTION TO THE U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION
IN THE UNITED STATES/
TORONTO, April 23, 2014 /CNW/ - Sirius XM Canada Holdings Inc.
("SiriusXM Canada" or the "Company") (TSX: XSR), parent of Sirius XM
Canada Inc., today announced the closing of its previously announced
private placement of 5.625% Senior Unsecured Notes due 2021 (the
"Notes") with an aggregate principal amount of C$200 million (the
"Offering"). The Company will use the net proceeds of the Offering to
fund the redemption of all of the Company's C$130.8 million outstanding 9.75% senior notes due 2018 (the "Existing Notes")
at a redemption price equal to approximately 107.9622% of the principal
amount of the Existing Notes plus accrued and unpaid interest. A notice
to redeem the Existing Notes has been provided to the indenture trustee
with the redemption to occur on May 23, 2014. The remaining funds will
be used for general corporate purposes, which may include a return of
capital to shareholders, acquisition financing, reinvesting in the
business or capital expenditures.
The Company also announced that it has obtained a commitment, subject to
customary closing conditions, for a C$35 million senior secured credit
facility with National Bank Canada and The Toronto-Dominion Bank. The
Company expects to close the senior secured credit facility on or after
May 23, 2014 following the redemption of the Existing Notes.
The Company has recently received notices from some of its significant
shareholders relating to the conversion of some of their Class B voting
shares for Class A subordinate voting shares. The Company understands
that these conversion notices were provided in response to the
previously disclosed conversion by Canadian Broadcasting Corporation of
all of its Class B voting shares for Class A subordinate voting shares.
To update the market, the Company highlighted the following approximate
voting and equity interest of its significant shareholders based on the
conversion notices provided to the Company (which is subject to
Sirius XM Radio Inc. (Voting: 25.0% and Equity: 37.0%)
Obelysk Media Inc. (Voting: 19.4% and Equity: 12.5%)
Slaight Communications Inc. (Voting: 19.4% and Equity: 12.4%)
Canadian Broadcasting Corporation (Voting: 13.3% and Equity: 14.0%)
This press release does not constitute an offer to sell or the
solicitation of an offer to buy the Notes in any jurisdiction, nor
shall there be any sale of these Notes in any jurisdiction in which
such an offer, solicitation or sale would be unlawful prior to
registration and qualification under the securities laws of any such
Certain statements included above may be forward-looking in nature. Such
statements can be identified by the use of forward-looking terminology
such as "expects," "may," "will," "should," "intend," "plan," or
"anticipates" or the negative thereof or comparable terminology, or by
discussions of strategy. Forward-looking statements include estimates,
plans, expectations, opinions, forecasts, projections, targets,
guidance, or other statements that are not statements of fact,
including with respect to the payment of dividends in the future and
future performance. Although SiriusXM Canada believes that the
expectations reflected in such forward-looking statements are
reasonable, it can give no assurance that such expectations will prove
to have been correct, including the use of proceeds of the Offering,
the redemption of Existing Notes, the closing of the senior credit
facility and savings in connection with such Offering and redemption.
SiriusXM Canada's forward-looking statements are expressly qualified in
their entirety by this cautionary statement. SiriusXM Canada makes no
commitment to revise or update any forward-looking statements in order
to reflect events or circumstances after the date any such statement is
made, except as required by applicable law. Additional information
identifying risks and uncertainties is contained in Sirius XM Canada
Holdings Inc.'s filings with the Canadian securities regulators,
available at www.sedar.com.
About SiriusXM Canada
Sirius XM Canada Holdings Inc. (TSX: XSR) operates as SiriusXM Canada.
SiriusXM Canada, with approximately 2.4 million subscribers, is one of
the country's leading audio entertainment company and broadcasts more
than 120 satellite radio channels featuring premier sports, news, talk,
entertainment and commercial-free music. SiriusXM Canada offers an
array of content from the most recognized news and entertainment brands
as well as every major sport including the NHL, NFL and MLB.
SiriusXM programming is available on a variety of devices including
pre-installed and after-market radios in cars, trucks and boats,
smartphones and mobile devices, and consumer electronics products for
homes and offices. SiriusXM programming is also available online at www.siriusxm.ca and on Apple and Android-powered mobile devices.
SiriusXM Canada has partnerships with every major automaker and its
radio products are available at more than 3,000 retail locations
nationwide. To find out more about SiriusXM Canada (TSX: XSR), visit
our website at www.siriusxm.ca.
SOURCE: SiriusXM Canada
For further information:
416-815-0700 ext 237