Aecon Completes Public Offering of Convertible Debentures

On September 29, 2009, Aecon Group Inc. completed the issuance of convertible unsecured subordinated debentures on a bought deal basis to a syndicate of underwriters co-led by GMP Securities L.P. and TD Securities Inc., and including Raymond James Ltd., CIBC World Markets Inc., Paradigm Capital Inc., BMO Capital Markets, Canaccord Capital Corporation, National Bank Financial Inc., Genuity Capital Markets and Macquarie Capital Markets Canada Ltd. As a result of the exercise on closing of the over-allotment option granted to the underwriters, the total gross proceeds of the offering was $172,500,000.

The convertible debentures are direct, unsecured obligations of Aecon that mature on September 30, 2014 and accrue interest at the rate of 7 per cent per annum, payable semi-annually. At the holder's option, the convertible debentures may be converted into common shares in the capital of Aecon Group Inc. at any time up to the maturity date at a conversion price of $19 per share, subject to adjustment in certain circumstances.

From September 30, 2012 through the maturity date, Aecon may, at its option, redeem the convertible debentures, in whole or in part, at par plus accrued and unpaid interest provided that the weighted average trading price of the common shares on the Toronto Stock Exchange during a specified period prior to redemption is not less than 125 per cent of the conversion price. Cassels Brock & Blackwell LLP acted for the underwriters with a team that included John Vettese, Jay King and Simon Flood (securities); Christopher Norton (tax) and Bruce Bell (financial services).

Wildeboer Dellelce LLP acted for Aecon with a team that included Troy Pocaluyko, Charles Malone and Darryl Holyday (securities) and Andrea Shreeram and Kevin Fritz (tax).


John P. Vettese Jay King R. Troy Pocaluyko Simon Flood Christopher B. Norton Darryl Holyday Charles S. Malone Bruce C. Bell Andrea Shreeram Kevin F. Fritz