All monetary amounts are expressed in
U.S. dollars, unless otherwise indicated.
TSX: IMG NYSE: IAG
TORONTO, March 9, 2017 /CNW/ - IAMGOLD
Corporation ("IAMGOLD" or the "Company") today announced that
it has priced a private offering of $400
million aggregate principal amount of senior notes due 2025
(the "Notes"). The Notes bear interest at 7.00% per
annum and are being issued at a price of 100% of their face amount,
providing the company with gross proceeds of $400 million. The offering of the
Notes is expected to close on or about March
16, 2017, subject to customary closing
conditions. Subject to the closing of the Notes,
IAMGOLD will use the proceeds of the Notes towards the redemption
of its $489 million of outstanding
6.75% Senior Notes due in October
2020 (the "Existing Notes") on or about April 2, 2017.
"Our four-year plan is to increase gold production to one
million ounces and to significantly reduce costs," said Executive
Vice President and CFO for IAMGOLD Carol Banducci.
"While we continue to be very comfortable with our strong financial
position today, reducing our long-term debt and extending the
maturity date of our notes to 2025 improves our capital structure
and supports our ability to fund our growth pipeline over the
four-year horizon and beyond."
The Notes have not been and will not be registered under the
United States Securities Act of 1933, as amended (the "Securities
Act"), or the securities laws of any state and may not be offered
or sold in the United States
absent registration under the Securities Act or an applicable
exemption from the registration requirements thereof. The Notes
will be offered and sold in the United
States only to qualified institutional buyers in accordance
with Rule 144A under the Securities Act and outside the United States in reliance on Regulation S
under the Securities Act. The Notes will be offered and sold in
Canada on a private placement
basis pursuant to certain exemptions from applicable Canadian
securities laws.
This news release does not constitute an offer to sell or a
solicitation of an offer to buy the Notes in the United States or any other jurisdiction,
nor shall there be any sale of the Notes in any jurisdiction in
which such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
jurisdiction or an exemption therefrom. This news release does not
constitute an offer to purchase the Existing Notes. This news
release contains information about pending transactions, and there
can be no assurance that these transactions will be completed.
Cautionary Note Regarding Forward-Looking Statements
This news release contains forward-looking statements. All
statements, other than of historical fact, that address activities,
events or developments that the Company believes, expects or
anticipates will or may occur in the future are forward-looking
statements, including the completion and timing of this offering
and the intended use of proceeds from this offering to redeem the
Existing Notes. They are forward-looking because they are
statements about the future that are based on what the Company
knows and expects today. Forward-looking statements are generally
identifiable by use of the words "may", "will", "should",
"continue", "expect", "anticipate", "outlook", "guidance",
"estimate", "believe", "intend", "plan" or "project" or the
negative of these words or other variations on these words or
comparable terminology. Forward-looking statements are subject to a
number of risks and uncertainties, many of which are beyond the
Company's ability to control or predict, that may cause the actual
results of the Company to differ materially from those discussed in
the forward-looking statements, including, but not limited to,
conditions in financial markets and risks discussed in the risk
factors section in IAMGOLD's latest annual information form.
Accordingly, readers should not place undue reliance on
forward-looking statements. IAMGOLD disclaims any intent or
obligations to update or revise publicly any forward-looking
statements whether as a result of new information, estimates or
options, future events or results or otherwise, unless required to
do so by law.
About IAMGOLD
IAMGOLD is a mid-tier mining company with four operating gold
mines on three continents. A solid base of strategic assets in
North and South America and
West Africa is complemented by
development and exploration projects and continued assessment of
accretive acquisition opportunities. IAMGOLD is in a strong
financial position with extensive management and operational
expertise.
SOURCE IAMGOLD Corporation