Bombardier Prices New Senior Notes, Plans Debt Restructuring

The aerospace giant aims to refinance existing debt with proceeds from a $750 million issuance, subject to market conditions.

Bombardier Inc. announces the pricing of a new issuance of Senior Notes due 2031, with an aggregate principal amount of US$750 million.
The new Senior Notes will carry a 7.250% annual coupon and will be sold at 99.75% of par, with the issuance expected to close around April 4, 2024.
Proceeds from the new issuance will be used for a tender offer to purchase up to US$550 million of its outstanding 7.125% Senior Notes due 2026 and to fund the redemption of US$200 million of its 7.875% Senior Notes due 2027.
The redemption of the 7.875% Senior Notes due 2027 is conditional upon the completion of the new offering of debt securities before April 22, 2024.
The transactions are subject to market and other conditions, with no assurance that Bombardier will complete them as described.