Hudson's Bay Company Completes Offering

On November 26, 2001, Hudson’s Bay Company (HBC) completed an offering of $200 million principal amount of 7.5 per cent convertible unsecured subordinated debentures to mature on December 1, 2008. The issue included $150 million principal amount of debentures sold on a bought deal basis and $50 million principal amount of debentures sold pursuant to an option granted by HBC to the underwriters. Each debenture is convertible into common shares of HBC at the option of the holder at any time at a conversion price of $17.38 per common share. The debentures are redeemable in certain circumstances. The principal amount of the debentures is repayable, at HBC’s option, on redemption or repurchase on a change of control or at maturity in cash or through the issuance of common shares of HBC.

Blake, Cassels & Graydon LLP acted for HBC with a team comprised of Sheila Murray, Anoop Dogra and Robyn Keinick (securities/corporate) and Paul Tamaki and Leslie Morgan (tax).

The underwriting syndicate was led by CIBC World Markets Inc. and included RBC Capital Markets Inc., BMO Nesbitt Burns, Inc., Scotia Capital Inc., National Bank Financial Inc., HSBC Securities (Canada) Inc. and Dundee Securities Corporation. McCarthy Tétrault LLP acted for the underwriters with a team comprised of Edward Kerwin, Dean Masse and Stephanie Haladner (securities/corporate) and James Morand (tax).