Bain Capital and the Caisse de dépôt et placement du Québec have closed their previously-announced sale of 8 million subordinate voting shares in Valcourt, Québec-based Bombardier Recreational Products Inc (BRP, TSX: DOO). The secondary transaction generated gross proceeds of about $223 million. BRP, which develops, manufactures and distributes power sports vehicles, was bought in 2003 by Bain, the Caisse and members of the Bombardier family. The company completed an initial public offering on the Toronto Stock Exchange earlier this year.
BRP INC. ANNOUNCES CLOSING OF SECONDARY OFFERING OF ITS SUBORDINATE VOTING SHARES
Valcourt, Québec, October 9, 2013 – BRP Inc. (“BRP” or the “Company”) announced today the closing of the previously announced bought deal secondary offering pursuant to which Bain Capital Luxembourg Investments S.à r.l. (“Bain”), Caisse de dépôt et placement du Québec (“CDPQ”) and other selling shareholders (collectively, the “Selling Shareholders”) sold an aggregate of 8,000,000 subordinate voting shares of BRP (“Subordinate Voting Shares”) at a price of $27.85 per Subordinate Voting Share for aggregate gross proceeds of approximately $223 million to the Selling Shareholders. 5,986,735 of the Subordinate Voting Shares were sold by Bain, 1,279,097 of the Subordinate Voting Shares were sold by CDPQ and 734,168 of the Subordinate Voting Shares were sold by the other selling shareholders. The Company did not receive any of the proceeds from this offering.
Following this offering, Beaudier Inc. and 4338618 Canada Inc., Bain and CDPQ hold 41,237,476, 40,145,521 and 7,640,347 multiple voting shares of BRP (“Multiple Voting Shares” and, collectively with the Subordinate Voting Shares, the “Shares”), respectively, representing approximately 34.9%, 34.0% and 6.5%, respectively, of the Company’s issued and outstanding Shares and approximately 43.9%, 42.8% and 8.1%, respectively, of the voting power attached to all outstanding Shares.
The Subordinate Voting Shares were offered by an underwriting syndicate led by BMO Nesbitt Burns Inc., RBC Dominion Securities Inc., UBS Securities Canada Inc. and Citigroup Global Markets Canada Inc., acting as joint bookrunners, and including CIBC World Markets Inc., Desjardins Securities Inc., Scotia Capital Inc., National Bank Financial Inc. and Robert W. Baird & Co.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities of the Company in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act of 1933 and other applicable securities laws.
BRP (TSX:DOO) is a global leader in the design, development, manufacturing, distribution and marketing of powersports vehicles. Distributed in 105 countries, its portfolio of brands and products includes Ski‑Doo and Lynx snowmobiles, Sea-Doo watercraft, Can-Am all-terrain and side-by-side vehicles, Can‑Am roadsters, Evinrude outboard engines, as well as Rotax propulsion systems. BRP employs approximately 6,800 people worldwide.
Ski-Doo, Lynx, Sea-Doo, Evinrude, Rotax, Can-Am, Spyder and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates.
Certain statements in this press release constitute forward-looking statements. The words “scheduled”, “may”, “will”, “would”, “should”, “could”, “expects”, “plans”, “intends”, “trends”, “indications”, “anticipates”, “believes”, “estimates”, “predicts”, “likely” or “potential” or the negative or other variations of these words or other comparable words or phrases, are intended to identify forward-looking statements. Forward-looking statements are based on estimates and assumptions made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that the Company believes are appropriate and reasonable in the circumstances, but there can be no assurance that such estimates and assumptions will prove to be correct. Many factors could cause the Company’s actual results or affairs to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the factors discussed in the “Risk Factors” section of the final short form prospectus dated October 2, 2013 available at www.sedar.com. These factors are not intended to represent a complete list of the factors that could affect the Company; however, these factors should be considered carefully. The forward‑looking statements contained in this press release are made as of the date of this press release, and the Company has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities regulations.
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