By Devika Patel
Knoxville, Tenn., March 30 - Rocky Mountain Liquor Inc. said it will sell between C$5 million and C$8 million of 7.75% convertible unsecured subordinated debentures. There is a C$1.2 million greenshoe for the offering, which will be conducted by National Bank Financial Inc.
The debentures, due April 30, 2016, will be initially convertible at C$0.50 per share, which equals a conversion ratio of 2,000 shares per C$1,000 of debentures.
The conversion price is a 53.85% premium to the March 29 closing share price of C$0.325.
Settlement is expected April 13.
Proceeds will be used to acquire and develop liquor stores.
The Toronto-based company owns and operates private liquor stores.
| Issuer: | Rocky Mountain Liquor Inc.
|
| Issue: | Convertible unsecured subordinated debentures
|
| Amount: | C$5 million (minimum), C$8 million (maximum)
|
| Greenshoe: | C$1.2 million
|
| Maturity: | April 30, 2016
|
| Coupon: | 7.75%
|
| Price: | Par of C$1,000
|
| Yield: | 7.75%
|
| Conversion premium: | 53.85%
|
| Conversion price: | C$0.50
|
| Conversion ratio: | 2,000 shares per C$1,000 of debentures
|
| Warrants: | No
|
| Agent: | National Bank Financial Inc.
|
| Pricing date: | March 29
|
| Settlement date: | April 13
|
| Stock symbol: | Toronto: ALC
|
| Stock price: | C$0.32 at close March 30
|
| Market capitalization: | C$17.96 million
|
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