2020-10-14 17:31 ET - News Release
Mr. Mark Davis reports
CHEMTRADE LOGISTICS INCOME FUND ANNOUNCES REDEMPTION OF ITS REMAINING 5.25% CONVERTIBLE UNSECURED SUBORDINATED DEBENTURES DUE JUNE 30, 2021
Chemtrade Logistics Income Fund has given notice that it will redeem on Nov. 13, 2020, all of its outstanding 5.25 per cent convertible unsecured subordinated debentures due June 30, 2021, being $14-million aggregate principal amount, in accordance with the terms of the trust indenture, as amended and supplemented by supplemental indentures thereto pursuant to which they were issued.
On the redemption date, holders of the 2021 debentures to be redeemed in connection with the redemption will receive approximately $1,019.5082 for each $1,000 principal amount of 2021 debentures, being equal to $1,000, plus all accrued and unpaid interest thereon to but excluding the redemption date. The 2021 debentures that are redeemed in connection with the redemption will cease to bear interest from and after the redemption date.
Formal notice of redemption has been delivered to the registered holder of the 2021 debentures in accordance with the terms of the indenture. Chemtrade intends to finance the redemption of the 2021 debentures through cash on hand.
The fund also announced today that following the successful upsizing and completion of the fund's public offering of $86.25-million aggregate principal amount of 8.50 per cent convertible unsecured subordinated debentures due Sept. 30, 2025 (including an additional $11.25-million principal amount of 2025 debentures issued pursuant to the exercise in full of the overallotment option granted to the syndicate of underwriters), Chemtrade has determined not to proceed with its previously announced intention to establish an at-the-market equity program at this time.