CanWel Building Materials Group Ltd. completes $60M bought deal note offering

CanWel Building Materials Group Ltd. (CanWel or the Company) (TSX:CWX) completed a $60 million bought deal offering of senior unsecured notes of the Company. The offering was underwritten by a syndicate of underwriters led by National Bank Financial Inc., and included GMP Securities L.P., Canaccord Genuity Corp., CIBC World Markets Inc., Raymond James Ltd., RBC Dominion Securities Inc., and Haywood Securities Inc. The notes trade on the Toronto Stock Exchange under the symbol CWX-NT.A. The net proceeds of the offering are expected to be used for the repayment of bank debt and for general corporate purposes.

The Company granted the Underwriters an over-allotment option to purchase up to an additional $9 million aggregate principal amount of notes, exercisable in whole or in part for a period of up to 30 days following the initial closing. If the over-allotment option is exercised in full, an additional $9 million will be raised and the aggregate gross proceeds of the offering will be $69 million.

CanWel is Canada’s only fully integrated national distributor in the building materials and related products sector.

Goodmans LLP represented CanWel with a team that included Michael Partridge, Rosel Kim, Danny Wakeling, Dennis Beker and Dan Eitutis (Corporate/Securities), Dan Dedic (banking) and Carrie Smit and Michael Royal (Tax). CanWel was represented in Québec by BCF LLP with a team that included Michel Rochefort and Benoit Léveillée.

Wildeboer Dellelce LLP and Stikeman Elliott LLP acted as co-counsel to the Underwriters. The Wildeboer team included Troy Pocaluyko, Jeff Hergott, Danny Kharazmi and Niall Sweeney (Corporate/Securities) and Katy Pitch (Tax), and the Stikeman Elliott team included D’Arcy Nordick, Courtney Wilson, Spencer Burger and Shawn Blundell (Corporate/Securities).