MONTREAL, Feb. 18, 2020 /CNW Telbec/ - Dollarama Inc. (TSX: DOL) ("Dollarama" or the "Corporation") announced today that it has established a commercial paper program in the United States (the "US Commercial Paper Program") on a private placement basis.

Under the terms of the US Commercial Paper Program, the Corporation may issue, from time to time, unsecured commercial paper notes with maturities not in excess of 397 days from the date of issue (the "Notes"). The aggregate principal amount of Notes outstanding at any one time under the US Commercial Paper Program will not exceed US$500 million. The Corporation intends to use the proceeds from the issuance of Notes for general corporate purposes.

The Notes will be direct unsecured obligations of the Corporation and will rank equally with all of its other unsecured and unsubordinated indebtedness. The Notes will be unconditionally guaranteed by Dollarama L.P. and Dollarama GP Inc., each a wholly-owned subsidiary of the Corporation. The Corporation's revolving credit facility, upsized on February 14, 2020 from C$500 million to C$800 million, will serve as a liquidity backstop for the repayment of the Notes issued under the US Commercial Paper Program.

The Notes have not been and will not be qualified for sale to the public under applicable securities laws in Canada and may not be offered or sold to any resident of Canada.

The Notes to be offered under the US Commercial Paper Program have not been and will not be registered under the Securities Act of 1933, as amended, or under any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. This press 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 Notes in the United States or any jurisdiction where it is unlawful to do so.

Forward-Looking Statements

Certain statements in this press release about the timing of the proposed issuance of the Notes, the expected use of the proceeds from the issuance, and any other future events or developments constitute forward-looking statements.

Forward-looking statements are based on information currently available to management and on estimates and assumptions made by management in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that are believed to be appropriate and reasonable in the circumstances. However, there can be no assurance that such estimates and assumptions will prove to be correct. Many factors could cause future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the factors discussed in the "Risks and Uncertainties" section of the Corporation's annual management's discussion and analysis and in its annual information form for Fiscal 2019, both available on SEDAR at www.sedar.com.

Readers should not place undue reliance on forward-looking statements made herein. Furthermore, unless otherwise stated, the forward-looking statements contained in this press release are made as at February 18, 2020 and the Corporation has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.

About Dollarama

Dollarama is a recognized Canadian value retailer offering a broad assortment of consumer products, general merchandise and seasonal items both in-store and online. Our 1,271 locations across Canada provide customers with compelling value in convenient locations, including metropolitan areas, mid-sized cities and small towns. Select products are also available, by the full case only, through our online store at www.dollarama.com. Our quality merchandise is sold at select, fixed price points up to $4.00.

Dollarama also owns a 50.1% interest in Dollarcity, a growing Latin American value retailer. Dollarcity offers a broad assortment of consumable products, general merchandise and seasonal items at select, fixed price points up to US$3.00 (or the equivalent in local currency) through its 210 conveniently-located stores in Colombia, El Salvador and Guatemala.

www.dollarama.com

Cision View original content:http://www.prnewswire.com/news-releases/dollarama-launches-us-commercial-paper-program-301006273.html

SOURCE Dollarama Inc.

Copyright 2020 Canada NewsWire

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