Extendicare Completes Previously Announced $200 Million Private Placement of Common Shares

Executive Summary

• Extendicare Inc. completed a “bought‑deal” private placement of 10,640,000 common shares at $18.80 per share, raising approximately $200 million in gross proceeds (≈$192 million net).
• Net proceeds will be used to partially fund the acquisition of CBI Home Health assets by Extendicare’s wholly‑owned subsidiary ParaMed Inc.
• The previously announced $150 million equity bridge facility that was intended to backstop the placement has been canceled in full.

Key Details

• Offering size: 10,640,000 Offered Shares.
• Issue price: $18.80 per share.
• Gross proceeds: ~​$200 million; net proceeds after underwriting fees ≈ $192 million.
• Underwriters: Co‑led by CIBC Capital Markets (sole bookrunner) with BMO Capital Markets and a syndicate including National Bank Financial, RBC Capital Markets, TD Securities, ATB Securities, Canaccord Genuity, Cormark Securities, Desjardins Securities.
• Placement structure: Private placement to accredited investors in Canada and qualified institutional buyers in the U.S. (Rule 144A). Shares subject to a four‑month hold period under Canadian securities law.
• Use of proceeds: Primarily to fund the acquisition of all equity interests in CBI Home Health LP, CBI (GP) 3 Inc., and related subsidiaries from CBI Health LP and CBI GP Holdco Inc.
• Bridge facility cancellation: The $150 million equity bridge facility previously announced to backstop the placement is being terminated in accordance with its terms.
• Regulatory notice: Offered Shares are not registered under the U.S. Securities Act and may only be sold in exempt transactions; the release is not an offer or solicitation in jurisdictions where such offers would be unlawful.

Notable Quotes

(No executive quotes were included in the release.)