MARKHAM, Ontario, Dec. 03, 2025 (GLOBE NEWSWIRE) -- Extendicare Inc. ("Extendicare" or the "Company") (TSX:EXE) announced today that it has completed its previously announced "bought deal" private placement (the "Private Placement") of common shares of the Company (the "Offered Shares"). Pursuant to the Private Placement, the Company issued an aggregate of 10,640,000 Offered Shares at an issue price of $18.80 per Offered Share, for gross proceeds of approximately $200 million.
The Private Placement was co-led by CIBC Capital Markets, as sole bookrunner, and BMO Capital Markets, on behalf of a syndicate of underwriters that included National Bank Financial Inc., RBC Capital Markets, TD Securities Inc., ATB Securities Inc., Canaccord Genuity Corp., Cormark Securities Inc. and Desjardins Securities Inc. (collectively, the "Underwriters").
The Company intends to use the proceeds from the Private Placement (net of Underwriters' fees and expenses) of approximately $192 million to partially fund the previously announced acquisition by the Company's wholly-owned home health care subsidiary, ParaMed Inc., of all of the equity interests of CBI Home Health LP and CBI (GP) 3 Inc. and their respective subsidiaries (collectively, "CBI Home Health"), from CBI Health LP and CBI GP Holdco Inc. (the "Acquisition").
The Offered Shares were offered by way of private placement to "accredited investors" in all provinces of Canada and in the United States on a private placement basis to "qualified institutional buyers" pursuant to Rule 144A under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"). The Offered Shares are subject to a four-month hold period under applicable securities laws in Canada.
In connection with closing of the Private Placement, the previously announced $150 million equity bridge facility entered into by the Company to backstop the Private Placement will be cancelled in its entirety in accordance with its terms.
The Offered Shares have not been and will not be registered under the U.S. Securities Act, or under any state securities laws in the United States, and may not be offered, sold, directly or indirectly, or delivered within the United States except in certain transactions exempt from or not subject to, the registration requirements of the U.S. Securities Act and applicable state securities laws. This press release does not constitute an offer to sell or a solicitation of an offer to buy Offered Shares in the United States or in any ...
