Premium Brands Holdings Corporation Announces Completion of $600 million Equity and Convertible Debenture Offerings

Executive Summary

• Premium Brands closed a $600 million financing consisting of $280 M from public subscription receipts, $150 M from 5.50% convertible unsecured subordinated debentures, and $170 M from a concurrent private placement to institutional investors.
• Net proceeds will be used primarily to fund the pending acquisition of Stampede Culinary Partners, reduce existing revolving credit facility indebtedness, and cover offering expenses.
• The securities began trading on the Toronto Stock Exchange under “PBH.R” (subscription receipts) and “PBH.DB.K” (debentures).

Key Details

• Public Subscription Receipts: 2,872,400 receipts at $97.50 each → gross proceeds ≈ $280 M.
• Convertible Debentures: $150 M aggregate principal; 5.50% interest payable semi‑annually; maturity 31 Dec 2032; conversion price $156.00 per common share (6.4103 shares per $1,000).
• Concurrent Private Placement: 1,743,600 placement subscription receipts at $97.50 each → gross proceeds ≈ $170 M to Alberta Investment Management Corp. and Jarislowsky Fraser Global Investment Management.
• Over‑Allotment Options:
• Subscription receipt underwriters may purchase up to an additional 430,860 receipts (or common shares) on the same terms.
• Debenture underwriters may purchase up to an additional $22.5 M principal amount of debentures on the same terms.
• Use of Proceeds:
• Subscription receipt proceeds held in escrow pending closing of the Stampede Culinary Partners acquisition; thereafter used to finance the acquisition and cover offering expenses.
• Debenture proceeds will first reduce indebtedness under the senior revolving credit facility, increasing available borrowing capacity for the acquisition and other strategic initiatives.
• Acquisition Funding: Remaining cash purchase price for the Stampede acquisition to be satisfied by a draw on the revolving credit facility.
• Trading Symbols: Subscription receipts – “PBH.R”; Debentures – “PBH.DB.K”.
• Closing Conditions: Acquisition expected to close by end‑January 2026, subject to antitrust and other customary approvals.

Notable Quotes

(No direct quotes were provided in the release.)