- StorageVault Canada (SVI) has announced a $150 million offering of 5 per cent convertible senior unsecured debentures
- A syndicate of underwriters has agreed to purchase $100 million of convertible senior unsecured debentures at a price of $1,000 per debenture
- StorageVault has entered into an agreement to sell $50 million of debentures to an institutional investor
- The debentures will bear interest at a rate of 5 per cent per annum, payable semi-annually
- The offerings are expected to close on or about January 9, 2023
- StorageVault owns, manages and rents self-storage and portable storage space to individuals and commercial clients
- StorageVault Canada Inc. (SVI) opened trading at C$6.53
StorageVault Canada (SVI) has announced a $150 million offering of 5 per cent convertible senior unsecured debentures.
A syndicate of underwriters led by Scotiabank has agreed to purchase $100 million of convertible senior unsecured debentures due March 31, 2028, at a price of $1,000 per debenture.
StorageVault has also granted the underwriters an option to purchase up to an additional $15 million aggregate principal amount of debentures for a period of 30 days following the closing of the offering.
StorageVault has entered into an agreement to sell $50 million of debentures to an institutional investor under the same terms and conditions of the offering on a private placement basis.
The debentures will bear interest at a rate of 5 per cent per annum, payable semi-annually on the last day of March and September of each year, with the first interest payment on March 31, 2023. The debentures will mature on March 31, 2028. Each debenture will be convertible into StorageVault common shares at the holder’s option at a conversion price of $8.65 per share.
The net proceeds from the offering and private placement will be used to repay existing indebtedness, fund potential future acquisition opportunities and for general corporate purposes.
Steven Scott, StorageVault’s Chief Executive Officer, commented on the capital raise.
“Current market dynamics give us opportunities to grow the company through acquisitions. As we work through our attractive acquisition pipeline, the financing provides StorageVault with additional liquidity to execute on these potential opportunities.”
The offerings are expected to close on or about January 9, 2023.
StorageVault owns, manages and rents self-storage and portable storage space to individuals and commercial clients. StorageVault owns and operates storage locations in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, and Nova Scotia.
StorageVault Canada Inc. (SVI) opened trading at C$6.53.
