SiriusXM Canada Closes Offering of C$200 Million 5.625% Senior Unsecured Notes
and Issues Notice to Redeem 9.75% Senior Notes
/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 change):
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 jurisdiction.
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
SOURCE SiriusXM Canada
Morlan Reddock SiriusXM Canada 416-513-7418 firstname.lastname@example.org
Dave Mason TMX Equicom 416-815-0700 ext 237 email@example.com
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CO: SiriusXM Canada
NI: MUSIC RADIO NEWSTK
-0- Apr/23/2014 14:16 GMT
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