Quebecor Media Inc. Prices Offering of US$850 Million Senior Notes Due 2023 and C$500 Million Senior Notes Due 2023
October 03 2012 - 8:43PM
Marketwired
Quebecor Media Inc. today announced the pricing of its new issuance
of US$850 million aggregate principal amount of 5 3/4% Senior Notes
due 2023 (the "US$ Notes") and C$500 million aggregate principal
amount of 6 5/8% Senior Notes due 2023 (the "C$ Notes" and,
together with the US$ Notes, the "notes"). The notes will be sold
at par. The US$ Notes will carry a coupon of 5 3/4% and will mature
on January 15, 2023 and the C$ Notes will carry a coupon of 6 5/8%
and will mature on January 15, 2023. Quebecor Media intends to use
the proceeds of this offering to finance: (i) the repurchase for
cancellation from CDP Capital d'Amerique Investissements inc. ("CDP
Capital"), a subsidiary of Caisse de depot et placement du Quebec,
of approximately 20,351,307 common shares of Quebecor Media
(representing approximately 36.4% of CDP Capital's interest in
Quebecor Media), for an aggregate purchase price of $1 billion,
payable in cash, as part of the previously announced equity
transactions with CDP Capital; (ii) the repayment of a portion of
Quebecor Media's issued and outstanding 7 3/4% Senior Notes due
2016 issued in 2007; and, (iii) in each case, for the payment of
related transaction fees and expenses and, if applicable, to
finance the settlement and termination of related hedging
contracts.
The success of the offering which was aimed at completing a
strategic acquisition by Quebecor Media clearly demonstrates the
support of its investor's base established over the years. In fact,
this particular transaction represented the largest ever, in terms
of value, completed by Quebecor Media in the Canadian and U.S. High
Yield markets.
Any redemption of the 7 3/4 % Senior Notes due 2016 will be made
pursuant to a notice of redemption under the indenture governing
such notes.
This press release is not an offer to sell or the solicitation
of an offer to buy securities in any jurisdiction. The notes
mentioned herein have not been registered under the United States
Securities Act of 1933 or applicable state securities laws, and the
notes may not be offered or sold in the United States absent
registration or an applicable exemption from registration. The
notes have not been and will not be qualified for sale to the
public under applicable Canadian securities laws and, accordingly,
any offer and sale of the notes in Canada will be made on a basis
which is exempt from the prospectus and dealer registration
requirements of such securities laws.
About Quebecor Media Inc.
Quebecor Media Inc. is a subsidiary of Quebecor Inc. (TSX:QBR.A)
(TSX:QBR.B), one of Canada's most important holding companies
operating in the telecommunications and media businesses. With more
than 16,000 employees, Quebecor Media Inc., through its subsidiary
Videotron Ltd., is an integrated communications company engaged in
cable television, interactive multimedia development, Internet
access services, cable telephone services and mobile telephone
services. Through Sun Media Corporation, Quebecor Media Inc. is the
largest publisher of newspapers in Canada. It also operates
Canoe.ca and its network of English and French language Internet
properties in Canada. In the broadcasting sector, Quebecor Media
Inc. operates, through TVA Group Inc., the number one French
language general interest television network in Quebec, a number of
specialty channels and the SUN News English language channel.
Another subsidiary of Quebecor Media Inc., Nurun Inc., is a major
interactive technologies and communications agency with offices in
Canada, the United States, Europe and Asia. Quebecor Media Inc. is
also active in magazine publishing (TVA Publishing Inc.), book
publishing and distribution (Sogides Group Inc. and CEC Publishing
Inc.), the production, distribution and retailing of cultural
products (Archambault Group Inc. and TVA Films), video game
development (BlooBuzz Studios Inc.), DVD, Blu-ray disc and
videogame rental and retailing (Le SuperClub Videotron Ltd), the
printing and distribution of regional newspapers and flyers
(Quebecor Media Printing Inc. and Quebecor Media Network Inc.),
news content production and distribution (QMI Agency),
multiplatform advertising solutions (QMI Sales) and the publishing
of printed and online directories, through Quebecor
MediaPages(TM).
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 which could
cause Quebecor Media'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
seasonality (including seasonal fluctuations in customer orders),
operating risk (including fluctuations in demand for Quebecor
Media's products and pricing actions by competitors), insurance
risk, risks associated with capital investment (including risks
related to technological development and equipment availability and
breakdown), environmental risks, risks associated with labour
agreements, risks associated with commodities and energy prices
(including fluctuations in the cost and availability of raw
materials), credit risk, financial risks, debt risks, risks related
to interest rate fluctuations, foreign exchange risks, risks
associated with government acts and regulations, risks related to
changes in tax legislation, and changes in the general political
and economic environment. 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 Media's
actual results to differ from current expectations, please refer to
Quebecor Media's public filings available at www.edgar.com and
www.quebecor.com including, in particular, the "Item 3. Key
Information - Risk Factors" as well as statements located elsewhere
in Quebecor Media's annual report on Form 20-F for the year ended
December 31, 2011.
The forward-looking statements in this press release reflect
Quebecor Media's expectations as of October 3, 2012, and are
subject to change after that date. Quebecor Media 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.
Contacts: Jean-Francois Pruneau Chief Financial Officer Quebecor
Media Inc. (514) 380-4144 Martin Tremblay Vice President, Public
Affairs Quebecor Media Inc. (514) 380-1985
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