Chemtrade completes debenture buybacks, cuts debt 90%

Mr. Endri Leno reports CHEMTRADE LOGISTICS INCOME FUND ANNOUNCES RESULTS OF ITS SUBSTANTIAL ISSUER BIDS FOR THE 6.25% CONVERTIBLE UNSECURED SUBORDINATED DEBENTURES DUE AUGUST 31, 2027 AND 7.00% CONVERTIBLE UNSECURED SUBORDINATED DEBENTURES DUE JUNE 30, 2028 Chemtrade Logistics Income Fund has released the results of its previously announced offers to purchase for cancellation: (i) up to all of the issued and outstanding 6.25 per cent convertible unsecured subordinated debentures due Aug. 31, 2027 (Cusip No. 16387PAL7), and (ii) up to all of the issued and outstanding 7.00 per cent convertible unsecured subordinated debentures due June 30, 2028 (Cusip No. 16387PAM5). The 2027 offer and 2028 offer each expired in accordance with their respective terms at 5 p.m. Eastern Time on Nov. 3, 2025. Based on the final count by Computershare Investor Services Inc., the depositary for the offers, a total of $85,628,000 aggregate principal amount of 2027 debentures were properly tendered to the 2027 offer and not withdrawn, and a total of $82,458,000 aggregate principal amount of 2028 debentures were properly tendered to the 2028 offer and not withdrawn. Rohit Bhardwaj, chief financial officer of Chemtrade, commented: "We are pleased with the outcome of the SIBs and the significant reduction in outstanding convertible debentures. In addition to supporting our unit price, these transactions are another successful step in the optimization of our capital structure with the added benefit of substantially reducing a source of potential equity dilution. Together with the senior unsecured notes issued in 2024 and earlier this year, this initiative reflects the continued strengthening and maturing of Chemtrade's balance sheet, leading to a reduction in our cost of capital. "As a result of these initiatives, we have reduced our convertible debentures outstanding by approximately 90 per cent with approximately $28-million of 2028 maturing convertible debentures outstanding," concluded Mr. Bhardwaj. Summary of the 2027 offer take up and redemption of 2027 debentures In accordance with the terms and conditions of the 2027 offer, the fund will be taking up $85,628,000 aggregate principal amount of 2027 debentures for total consideration of $115,694,571.37, representing a purchase price of $1,340 per $1,000 principal amount of 2027 debentures, plus all accrued and unpaid interest thereon to but excluding the payment date of Nov. 4, 2025. The principal amount of 2027 debentures purchased pursuant to the 2027 offer represents approximately 94.61 per cent of the outstanding aggregate principal amount of 2027 debentures as of the date hereof and, after giving effect to the purchase of such 2027 debentures for cancellation, approximately $4,874,000 aggregate principal amount of 2027 debentures will remain outstanding. As previously announced, the fund will redeem today the remaining 2027 debentures not tendered or purchased by the fund pursuant to the 2027 offer in accordance with the terms of the trust indenture, as amended and supplemented by supplemental indentures thereto pursuant to which they were issued. $4,874,000 aggregate principal amount of 2027 debentures will be redeemed today for a total redemption price of $4,928,248.29. As a result of the redemption, holders of the 2027 debentures will receive approximately $1,011.1301370 for each $1,000 principal amount of 2027 debentures redeemed, representing their par value, plus all accrued and unpaid interest thereon to but excluding today's date. Summary of the 2028 offer take up As mentioned above, $82,458,000 aggregate principal amount of 2028 debentures were properly tendered to the 2028 offer and not withdrawn. Of such 2028 debentures, $8,541,000 aggregate principal amount were tendered to the 2028 cash election (as defined below) and $73,917,000 aggregate principal amount were tendered to the 2028 debenture election (as defined below). The conditions for acceptance by the fund of 2028 debentures tendered under the 2028 debenture election included that (i) at least $30-million of the principal amount of the 2028 debentures shall have been validly tendered to the 2028 offer under the 2028 debenture election and not withdrawn; and (ii) the Toronto Stock Exchange (TSX) shall not have withdrawn its conditional approval for the listing of the new debentures (as defined below) on the TSX. Accordingly, the minimum debenture tender condition has been met, and new debentures will be issued under the 2028 offer. In accordance with the terms and conditions of the 2028 offer, the fund will be taking up: Pursuant to a cash election, $8,541,000 aggregate principal amount of 2028 debentures for total consideration of $10,457,226.00 in cash, representing a purchase price to be paid on the basis of $1,200 in cash per $1,000 principal amount of 2028 debentures, plus a cash payment in respect of all accrued and unpaid interest on such 2028 debentures up to, but excluding, the payment date; Pursuant to a debenture election, $73,917,000 aggregate principal amount of 2028 debentures for total consideration of $73,917,000 aggregate principal amount of new debentures and $16,583,734.60 in cash, representing a purchase price to be paid on the basis of $1,000 principal amount of 7.00 per cent unsecured subordinated debentures due June 30, 2028, plus $200 in cash, per $1,000 principal amount of 2028 debentures, plus all accrued and unpaid interest on such 2028 debentures up to, but excluding, the payment date. The new debentures are expected to be listed and will begin trading on the TSX under the ticker CHE.DB.I on or about Nov. 6, 2025. The principal amount of 2028 debentures purchased pursuant to the 2028 offer represents approximately 74.96 per cent of the outstanding aggregate principal amount of 2028 debentures as of the date hereof and, after giving effect to the purchase of such 2028 debentures for cancellation, approximately $27,542,000 aggregate principal amount of 2028 debentures will remain outstanding. The fund will make payment for the 2027 debentures and 2028 debentures tendered and accepted for purchase by tendering the applicable aggregate consideration to the depositary in accordance with the offers and applicable laws, and payment to the debentureholders will be effected by the depositary as soon as practisable. Any 2027 debentures or 2028 debentures invalidly tendered or tendered and not purchased will be returned to the tendering debentureholder promptly by the Depositary. About Chemtrade Logistics Income Fund Chemtrade operates a diversified business providing industrial chemicals and services to customers across North America and around the world. Chemtrade is one of North America's largest suppliers of sulphuric acid, spent acid processing services, inorganic coagulants for water treatment, sodium chlorate, sodium nitrite and sodium hydrosulphite. Chemtrade is also a leading producer of high-purity sulphuric acid for the semiconductor industry in North America. Chemtrade is a leading regional supplier of sulphur, chlor-alkali products and zinc oxide. Additionally, Chemtrade provides industrial services such as processing byproducts and waste streams. We seek Safe Harbor.