Chemtrade Logistics Income Fund announces closing of General Chemical acquisition and closing of $345.2 mln subscription receipt offering


Thursday, 23 Jan 2014 09:42am EST 

Chemtrade Logistics Income Fund:Says it has completed its previously-announced acquisition of Parsippany, New Jersey-based General Chemical Holding Company.Says the final total cash purchase price is expected to be about $900 million after a working capital adjustment and payment of post-closing taxes.Says the all-cash Transaction was financed by a combination of $1.0 bln syndicated senior secured credit facilities consisting of a $600 mln term loan and a $400 mln revolver with a $150 mln optional accordion and the net proceeds of an offering of 18.17 mln subscription receipts.Says inclusive of 2.37 million Subscription Receipts issued pursuant to the exercise in full of the underwriters' over-allotment option, that was also completed and raised gross proceeds of $345.2 million.With the closing of the Transaction, pursuant to the Offering, the Subscription Receipts have been exchanged on a one-for-one basis for units of Chemtrade without payment of additional consideration or further action, with the result that an aggregate of 18.17 mln units have now been issued.Says the offering was undertaken on a bought deal basis by a syndicate of underwriters led by BMO Capital Markets and Scotiabank. 

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