Doman arranges $170-million note offering

Executive Summary

• Doman Building Materials Group Ltd. announced the pricing and offering of a reopening of its $170 million senior unsecured notes due September 17, 2029.
• The notes were priced at 101.625% of face value, generating approximately $167 million in net proceeds.
• The company intends to use the net proceeds, along with funds from its syndicated credit facility, to repurchase and cancel a portion of its outstanding senior unsecured subordinated notes due May 15, 2026, and redeem any remaining 2026 notes.

Key Details

• Transaction Structure: Reopening of existing senior unsecured notes due Sept. 17, 2029.
• Aggregate Principal Amount: $170 million.
• Interest Rate: 7.50% per annum.
• Pricing: 101.625% of face value (plus accrued interest from Sept. 17, 2025).
• Yields: Yield to call of 6.515% and yield to maturity of 7.000%.
• Net Proceeds: Approximately $167 million.
• Use of Proceeds: Repurchase for cancellation of a portion of outstanding senior unsecured subordinated notes due May 15, 2026, and redemption of any remaining 2026 notes following the closing.
• Underwriters: Joint active bookrunners are Stifel, CIBC Capital Markets, and TD Securities; joint bookrunners are National Bank Capital Markets, Raymond James, RBC Capital Markets, Wells Fargo Securities, Canaccord Genuity, and Desjardins Capital Markets.
• Closing Date: Expected on or about Dec. 2, 2025, subject to customary closing conditions.
• Regulatory Status: Offered on a private placement basis in Canada; offered and sold in the U.S. only to qualified institutional buyers in reliance on Rule 144A.
• Existing Debt Context: The new notes are fungible with and part of a single series with the $365 million aggregate principal amount of 2029 notes currently outstanding.