Chemtrade Electrochem Inc. (Formerly Canexus Corporation) and Chemtrade Logistics Income Fund Announce Completion of Redemption of Chemtrade Electrochem’s 7.875% Senior Unsecured Notes Due 2023
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Calgary, Alberta, and Toronto, Ontario, June 25, 2018 – Chemtrade Electrochem Inc. (formerly Canexus Corporation) (“Chemtrade Electrochem”) and Chemtrade Logistics Income Fund (TSX: CHE.UN) (“Chemtrade”) announced today that Chemtrade Electrochem has completed the redemption of all of its outstanding 7.875% Senior Unsecured Notes due 2023. The notes have been redeemed for a redemption price per $1,000 principal amount of notes of $1,100.09, being the Make-Whole Price (as defined in the indenture governing the notes), plus accrued and unpaid interest to but excluding the redemption date of $20.92808.
In addition, Chemtrade has provided a payment guarantee of all of Chemtrade Electrochem’s issued and outstanding 6.00% convertible unsecured subordinated series V debentures due December 31, 2020 and 6.50% convertible unsecured subordinated series VI debentures due December 31, 2021. The payment guarantee is an unsecured obligation of Chemtrade and ranks pari passu with all of Chemtrade’s other unsecured obligations. Accordingly, Chemtrade Electrochem anticipates that it will rely on available exemptions under applicable securities laws to satisfy its audited annual and interim financial statement and management’s discussion and analysis reporting obligations using the disclosure of Chemtrade as parent credit supporter.
About Chemtrade Electrochem
Chemtrade Electrochem is an indirect wholly-owned subsidiary of Chemtrade that produces sodium chlorate and chlor-alkali products largely for the pulp and paper and water treatment industries.
Chemtrade operates a diversified business providing industrial chemicals and services to customers in North America and around the world. Chemtrade is one of North America’s largest suppliers of sulphuric acid, spent acid processing services, inorganic coagulants for water treatment, sodium chlorate, sodium nitrite, sodium hydrosulphite and phosphorus pentasulphide. Chemtrade is a leading regional supplier of sulphur, chlor-alkali products, liquid sulphur dioxide, potassium chloride, and zinc oxide. Additionally, Chemtrade provides industrial services such as processing by-products and waste streams.
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For further information:
President & CEO
Tel: (416) 496-4176
Vice President, Finance & CFO
Tel: (416) 496-4177