MONTRÉAL, Nov. 30, 2021 /CNW
Telbec/ - METRO INC. today announced the closing of the previously
announced private placement offering of C$300 million aggregate principal amount of
1.922% Series J Senior Unsecured Notes due December 2, 2024 (the "Series J Notes").
The Series J Notes are being offered through an agency syndicate
consisting of BMO Capital Markets, Scotia Capital Inc. and TD
Securities Inc. as co-lead managers and co-bookrunners and CIBC
World Markets Inc., Desjardins Securities Inc., National Bank
Financial Inc., RBC Dominion Securities Inc. and Casgrain &
Company Limited as co-managers.
The Series J Notes, which carry a coupon of 1.922%, were priced
at $1,000 per $1,000 principal amount, for an effective yield
of 1.922% per annum if held to maturity.
Metro intends to use the proceeds of the offering for the
repayment of the Series C senior unsecured notes due December 1, 2021 and for general corporate
purposes.
In conjunction with this offering, Metro entered into a
C$300 million interest rate swap
effectively locking in a floating rate of interest of 11 basis
points (0.11%) over the 3-month bankers' acceptance rate (CDOR)
over the life of the Series J Notes.
The Series J Notes are direct unsecured obligations of Metro and
rank pari passu with all other unsecured and unsubordinated
indebtedness of Metro.
The Series J Notes are being offered in Canada on a private placement basis in
reliance upon exemptions from the prospectus requirements under
applicable securities legislation and are rated BBB, with a stable
trend, by DBRS Limited, and BBB by Standard & Poor's Ratings
Services.
This press release does not constitute an offer to sell or
the solicitation of an offer to buy any security and shall not
constitute an offer, solicitation or sale of any securities in any
jurisdiction in which such offering, solicitation or sale would be
unlawful.
The Series J Notes have not been and will not be registered
under the United States Securities Act of 1933, as amended (the
"U.S. Securities Act") or any state securities laws and may not be
offered, sold or delivered in the United
States of America or its territories or possessions or to
U.S. persons except in compliance with the registration
requirements of the U.S. Securities Act and applicable state
securities laws or pursuant to an exemption therefrom. The
information in this press release is not complete and may be
changed. This press release does not constitute an offer to sell or
a solicitation of an offer to buy any of the Series J Notes in
the United States.
About METRO Inc.
With annual sales of $18 billion,
METRO Inc. is a food and pharmacy leader in Québec and Ontario. As a retailer, franchisor,
distributor, and manufacturer, the company operates or services a
network of some 950 food stores under several banners including
Metro, Metro Plus, Super C and Food Basics, as well as some 650
drugstores primarily under the Jean Coutu, Brunet, Metro Pharmacy
and Food Basics Pharmacy banners, providing employment to almost
90,000 people. For more details, visit corpo.metro.ca.
Forward–Looking Statements
This press release contains forward-looking statements which
reflect management's expectations related to expected future events
including, but not limited to, statements relating to the intended
use of proceeds of the offering of Series J Notes. This
forward-looking information typically contains the words
"anticipate", "believe", "estimate", "intend", "expect", "may",
"will", "should", "potential", "plan", "project" or other similar
terms. These forward-looking statements are not facts, but only
reflections of management's estimates and expectations. Although
Metro believes that these statements are based on information and
assumptions which are current, reasonable and complete, these
statements are necessarily subject to a number of factors that
could cause actual results to differ materially from management's
expectations as set forth in such forward-looking statements for a
variety of reasons, including market and general economic
conditions and the risks and uncertainties discussed in the "Risk
Factors" section in disclosure materials filed from time to time
with Canadian securities regulatory authorities.
The forward-looking statements included in this press release
are made only as of the date hereof and Metro does not undertake to
publicly update these forward-looking statements to reflect new
information, future events or otherwise. In light of these risks,
uncertainties and assumptions, the forward-looking events contained
in these forward-looking statements may or may not occur. Metro
cannot assure that projected results or events will be
achieved.
SOURCE METRO INC.