Bombardier closes $250M (U.S.) senior note offering

Executive Summary

• Bombardier Inc. has closed the offering of an additional $250 million (U.S.) aggregate principal amount of 6.75% Senior Notes due 2033.
• These additional notes form a single series with the existing $500 million (U.S.) of 6.75% Senior Notes due 2033 originally issued on May 29, 2025.
• Proceeds will be used to finance the repayment and/or retirement of outstanding indebtedness, specifically the redemption of all remaining 7.125% Senior Notes due 2026 and approximately $84 million of 7.875% Senior Notes due 2027.

Key Details

• Transaction Structure: Additional issuance of 6.750% Senior Notes due 2033, forming a single series with the existing $500 million (U.S.) notes issued May 29, 2025.
• Principal Amount: $250 million (U.S.) aggregate principal amount.
• Coupon Rate: 6.750% per annum.
• Maturity Date: June 15, 2033.
• Issue Price: 103.500% of par, plus accrued interest from May 29, 2025, to the issue date.
• Use of Proceeds:
  • Repayment/retirement of outstanding indebtedness.
  • Redemption of all remaining outstanding 7.125% Senior Notes due 2026.
  • Redemption of approximately $84 million (U.S.) of outstanding 7.875% Senior Notes due 2027.
  • Payment of accrued interest and related fees/expenses.
• Outstanding Debt Details (Pre-Redemption):
  • 7.125% Senior Notes due 2026: $166,289,000 (U.S.) aggregate principal amount outstanding.
  • 7.875% Senior Notes due 2027: $183,142,000 (U.S.) aggregate principal amount outstanding.
• Redemption Schedule:
  • Redemption Date for 2026 and 2027 notes: October 4, 2025.
  • Notices of Redemption Issued: September 4, 2025.
  • Expected Payment Completion: October 6, 2025.