StorageVault Announces $50 Million Bought Deal Offering of 5.60% Senior Unsecured Hybrid Debentures

Executive Summary

• StorageVault Canada Inc. entered into an underwriting agreement for a $50 million senior unsecured hybrid debenture offering, with an additional up‑to‑$7.5 million option for the underwriters.
• The 5.60% per annum debentures mature on December 31 2030; proceeds will be used to pay down existing bank debt, potentially fund redemption of 5.75% listed debentures due Jan 31 2026, support future acquisitions and general corporate purposes.
• Offering expected to close around November 28 2025, subject to customary regulatory approvals (TSX, securities commissions).

Key Details

• Underwriters: Syndicate led by CIBC Capital Markets and Scotiabank (Joint Bookrunners).
• Principal Amount: $50 million aggregate; underwriters have an option for up to an additional $7.5 million, exercisable within 30 days post‑closing.
• Price: $1,000 per debenture (par value).
• Interest Rate: 5.60% per annum, payable semi‑annually in arrears on June 30 and December 31 each year; first interest payment due June 30 2026 (includes accrued interest from closing to that date).
• Maturity & Call Schedule:
• Maturity: December 31 2030.
• First call (no redemption) until December 31 2028.
• Redemption price 102.8% of principal plus accrued interest for redemptions between Dec 31 2028 and Dec 31 2029.
• Redemption at par plus accrued interest after Dec 31 2029 up to maturity.
• Notice period: 30–60 days prior to redemption.
• Ranking: Direct senior unsecured obligations; subordinate to all existing/future senior secured indebtedness, pari‑passu with other unsubordinated debt, and structurally subordinated to subsidiaries’ obligations. No guarantees from subsidiaries.
• Use of Proceeds:
• Primary: Pay down bank debt (which may be re‑drawn for redemption of 5.75% debentures due Jan 31 2026).
• Secondary: Potential future acquisitions and general corporate purposes.
• Regulatory Conditions: Subject to TSX approval and filing of a preliminary short‑form prospectus in all Canadian provinces; “access equals delivery” provisions apply.
• U.S. Offering Restrictions: Securities not registered under the U.S. Securities Act; cannot be offered or sold to U.S. persons except via exemption.

Notable Quotes

(No executive quotes were included in the release.)