MONTRÉAL, May 13, 2024 /CNW/ - Quebecor Inc.
("Quebecor") (TSX: QBR.A),(TSX : QBR.B) today announced that
it has issued a redemption notice to holders of its currently
outstanding 4.0% convertible unsecured subordinated debentures due
June 26, 2024 (the "Debentures"). As
set out in the redemption notice, Quebecor intends to redeem all of
the issued and outstanding Debentures on June 25, 2024 (the "Redemption Date"). As of the
close of business on May 10, 2024,
the aggregate principal amount of the Debentures issued and
outstanding was $150,000,000.
Pursuant to the terms of the Debentures, Quebecor has elected to
exercise its Share Redemption Payment Right with respect to the
entire outstanding principal amount of the Debentures.
Consequently, Quebecor will issue and deliver to the holders, on
the Redemption Date, Class B Subordinate Voting Shares ("Class B
shares") in accordance with the conversion terms of the Debentures.
Based on the closing price on May 10,
2024, approximately 5.0 million Class B Shares would have
been issued and delivered to holders on the Redemption Date.
Accrued and unpaid interest on the Debentures to, but not
including, the Redemption Date shall be paid in cash to
holders.
"The decision to exercise our Share Redemption Payment Right is
consistent with our prudent approach to balance sheet management
and our desire to further reduce our debt leverage ratio", said
Pierre Karl Péladeau, President and Chief Executive Officer
of Quebecor.
Since the initiation of Quebecor's normal course issuer bid
("NCIB") in 2011, Quebecor has repurchased approximately 58.2
million Class B shares at a weighted average price of $23.97. Purchases under the NCIB were made
through the facilities of the Toronto Stock Exchange in accordance
with its requirements, or through other alternative trading
systems.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy or sell securities in any
jurisdiction. The securities referred to herein have not been and
will not be registered under the U.S. Securities Act of 1933
or any state securities laws and may not be offered or sold in
the United States absent
registration or an applicable exemption from the registration
requirements.
The Toronto Stock Exchange has not reviewed and does not
accept responsibility for the adequacy or accuracy of this
release.
Cautionary statement regarding
forward-looking statements
The statements in this press release that are not historical
facts are forward-looking statements and are subject to significant
known and unknown risks, uncertainties and assumptions that could
cause Quebecor's actual results for future periods to differ
materially from those set forth in the forward-looking statements.
Forward-looking statements may be identified by the use of the
conditional or by forward-looking terminology such as the terms
"plans," "expects," "may," "anticipates," "intends," "estimates,"
"projects," "seeks," "believes," or similar terms, variations of
such terms or the negative of such terms. Certain factors that may
cause actual results to differ from current expectations include
the possibility that Quebecor is unable to successfully carry out
its business strategies, including but not limited to the
geographic expansion of its telecommunications activities and the
reorganization of TVA Group, seasonality (including seasonal
fluctuations in customer orders), operating risk (including
fluctuations in demand for Quebecor's products and the pricing of
competitors' products and services), new competition and Quebecor's
ability to retain its current customers and attract new ones,
Quebecor's ability to penetrate new, highly competitive markets and
the accuracy of estimates of the size of potential markets, risks
related to fragmentation of the advertising market, insurance risk,
risks associated with capital investments (including risks related
to technological development and equipment availability and
breakdown), environmental risks, risks associated with
cybersecurity and the protection of personal information, risks
associated with service interruptions resulting from equipment
breakdown, network failure, the threat of natural disaster,
epidemics, pandemics or other public health crises, political
instability in some countries, risks associated with emergency
measures implemented by various governments, credit risk, financial
risks, debt risks, risks related to interest rate fluctuations,
foreign exchange risks, risks associated with government acts and
regulations, risks linked to an unfavorable judgment or settlement
of a dispute, risks associated with labour agreements, risks
related to changes in tax legislation, and changes in the general
political and economic environment.
In addition, there are risks associated with the acquisition of
Freedom and the strategy for expansion outside Québec, including
Quebecor's ability to successfully integrate Freedom's operations
following the acquisition and to realize synergies, and potential
unknown liabilities or costs associated with the acquisition of
Freedom. As well, the anticipated benefits and effects of the
acquisition of Freedom may not be realized in a timely manner or at
all, and future operating costs and capital expenditures could be
different than anticipated. In addition, unanticipated litigation
or other regulatory proceedings associated with the acquisition of
Freedom could result in changes to the parameters of the
transaction. Finally, the impacts of the significant and recurring
investments that will be required in the new markets of Freedom and
Videotron, operating as an MVNO or otherwise, for development and
expansion and to compete effectively with the ILECs and other
current or potential competitors in these markets, including the
fact that the post–acquisition Videotron business will continue to
face the same risks that Videotron currently faces, but will also
face increased risks relating to new geographies and markets.
Investors and others are cautioned that the foregoing list of
factors that may affect future results is not exhaustive and that
undue reliance should not be placed on any forward-looking
statements. For more information on the risks, uncertainties and
assumptions that could cause Quebecor's actual results to differ
from current expectations, please refer to Quebecor's public
filings, available at www.sedarplus.ca and www.quebecor.com,
including, in particular, the "Risks and Uncertainties" section of
Quebecor's Management Discussion and Analysis for the year ended
December 31, 2023.
The forward-looking statements in this press release reflect
Quebecor's expectations as of May 13,
2024 and are subject to change after this date. Quebecor
expressly disclaims any obligation or intention to update or revise
any forward-looking statements, whether as a result of new
information, future events or otherwise, except as required by
applicable securities laws.
About Quebecor
Quebecor, a Canadian leader in telecommunications,
entertainment, news media and culture, is one of the
best-performing integrated communications companies in the
industry. Driven by their determination to deliver the best
possible customer experience, all of Quebecor's subsidiaries and
brands are differentiated by their high-quality, multiplatform,
convergent products and services.
Québec-based Quebecor (TSX: QBR.A, QBR.B) employs more than
11,000 people in Canada.
A family business founded in 1950, Quebecor is strongly
committed to the community. Every year, it actively supports more
than 400 organizations in the vital fields of culture, health,
education, the environment and entrepreneurship.
Visit our website: www.quebecor.com
Follow us on Twitter: twitter.com/Quebecor
SOURCE Quebecor