/NOT FOR RELEASE OVER US NEWSWIRE SERVICES OR
DISSEMINATION IN THE US/
MONTREAL, June 1, 2018 /CNW Telbec/ - SNC-Lavalin
Group Inc. (TSX: SNC) ("SNC-Lavalin" or the
"Corporation") announced today that it has priced an
offering of $150 million aggregate
principal amount of floating rate series 5 unsecured debentures due
2019 (the "Series 5 Debentures"). The Series 5
Debentures are being offered through a syndicate of agents
comprised of National Bank Financial Markets, BMO Capital
Markets, CIBC World Markets and Scotiabank, all acting as joint
bookrunners. The Series 5 Debentures will be issued at par and
closing is expected to occur on or about June 6, 2018, subject to customary closing
conditions. SNC-Lavalin intends to use the net proceeds of the
offering to repay certain outstanding indebtedness and for general
corporate purposes.
The Series 5 Debentures will bear interest at a rate equal to
the 3‑month bankers' acceptance rate (CDOR) plus 37 basis points
(or 0.37%), to be set for the initial quarterly period on the
expected closing date of June 6, 2018
and subsequently on a quarterly basis on September 6, 2018, December 6, 2018 and March
6, 2019. Interest will be payable in cash quarterly, in
arrears, over its one-year term on the 6th day of
September and December of 2018 and of March and June of 2019,
commencing on September 6, 2018.
The Series 5 Debentures will be direct unsecured obligations of
SNC-Lavalin, will rank pari passu with all other unsecured
and unsubordinated indebtedness of SNC-Lavalin (including all of
its other existing debentures as well as indebtedness under its
existing main credit agreement) and will be guaranteed by the same
subsidiaries that guarantee SNC-Lavalin's obligations under its
existing main credit agreement and its other outstanding
debentures.
The Series 5 Debentures have been assigned a provisional rating
of BBB by Standard & Poor's, and are being offered in
Canada on a private placement
basis in reliance upon exemptions from the prospectus requirements
under applicable securities legislation.
The Series 5 Debentures have not been and will not be qualified
for sale to the public under applicable securities laws in
Canada and, accordingly, any offer
and sale of the Series 5 Debentures in Canada will be made on a basis which is exempt
from the prospectus requirements of such securities laws. The
Series 5 Debentures have not been and will not be registered under
the United States Securities Act of 1933, as amended (the U.S.
Securities Act), or the securities laws of any other
jurisdiction, and may not be offered or sold in the United States absent registration under,
or an applicable exemption from the registration requirements of,
the U.S. Securities Act. This news release shall not constitute an
offer to sell or the solicitation of an offer to buy, nor shall
there be any offer to sell or a solicitation of an offer to buy the
Series 5 Debentures in any jurisdiction where it is unlawful to do
so.
About SNC-Lavalin
Founded in 1911, SNC-Lavalin is a global fully integrated
professional services and project management company and a major
player in the ownership of infrastructure. From offices around the
world, SNC-Lavalin's employees are proud to build what matters. Our
teams provide comprehensive end-to-end project solutions –
including capital investment, consulting, design, engineering,
construction, sustaining capital and operations and maintenance –
to clients across oil and gas, mining and metallurgy,
infrastructure, clean power, nuclear and EDPM (engineering design
and project management). On July 3,
2017, SNC-Lavalin acquired Atkins, one of the world's most
respected design, engineering and project management consultancies,
which has been integrated into our sectors.
www.snclavalin.com
Forward-Looking Statements
Statements made in this news release that describe the
Corporation's or management's budgets, estimates, expectations,
forecasts, objectives, predictions, projections of the future or
strategies may be "forward-looking statements", which can be
identified by the use of the conditional or forward-looking
terminology such as "aims", "anticipates", "assumes", "believes",
"cost savings", "estimates", "expects", "goal", "intends", "may",
"plans", "projects", "should", "synergies", "target", "vision",
"will", or the negative thereof or other variations thereon.
Forward-looking statements also include any other statements that
do not refer to historical facts. Forward-looking statements also
include statements relating to the following: i) future capital
expenditures, revenues, expenses, earnings, economic performance,
indebtedness, financial condition, losses and future prospects; and
ii) business and management strategies and the expansion and growth
of the Corporation's operations. Specific forward-looking
statements in this news release, include, but are not limited to,
statements with respect to the offering of Series 5 Debentures and
the intended timing and use of proceeds thereof, and with respect
to the credit ratings assigned to the Series 5 Debentures.
All such forward-looking statements are made pursuant to the
"safe-harbour" provisions of applicable Canadian securities laws.
Forward-looking statements made in this news release are based on a
number of assumptions. The Corporation cautions that, by their
nature, forward-looking statements involve risks and uncertainties,
and that its actual actions and/or results could differ materially
from those expressed or implied in such forward-looking statements,
or could affect the extent to which a particular projection
materializes. In addition, the closing of the offering and issuance
of the Series 5 Debentures is subject to general market and other
conditions and there are no assurances that the proposed issuances
of Series 5 Debentures will be completed or that the terms of the
offering will not be modified. Forward-looking statements are
presented for the purpose of assisting investors and others in
understanding certain key elements of the Corporation's current
objectives, strategic priorities, expectations and plans, and in
obtaining a better understanding of the Corporation's business and
anticipated operating environment. Readers are cautioned that such
information may not be appropriate for other purposes.
The forward-looking statements contained in this news release
are expressly qualified in their entirety by the foregoing
cautionary statements. The forward-looking statements herein
reflect the Corporation's expectations as at the date of this news
release and are subject to change after such date. The Corporation
does not undertake to update publicly or to revise any such
forward-looking statements, whether as a result of new information,
future events or otherwise, unless required by applicable
legislation or regulation.
SOURCE SNC-Lavalin