/NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR
DISSEMINATION IN THE UNITED
STATES/
TORONTO, March 10, 2021 /CNW/ - Chemtrade Logistics Income
Fund (TSX: CHE.UN) ("Chemtrade" or the "Fund")
announced today that it has completed its previously-announced
public offering of 9,800,000 trust units (the "Trust Units")
at a price of $7.15 per Trust Unit
(the "Offering Price") for gross proceeds of approximately
$70 million (the "Offering").
The Trust Units were sold to a syndicate of underwriters led by BMO
Capital Markets, CIBC Capital Markets, National Bank Financial
Inc., RBC Capital Markets, Scotiabank, and TD Securities Inc.
(collectively, the "Underwriters") on a bought deal basis.
In addition, Chemtrade has granted the Underwriters an
over-allotment option to purchase up to $10.5 million of additional Trust Units at the
Offering Price, which can be exercised in whole or in part at any
time for a period of 30 days following the closing of the
Offering.
Chemtrade intends to use the net proceeds from the Offering to
repay outstanding indebtedness under the Fund's existing credit
facility and for general trust purposes. The Fund expects to draw
on its credit facility in connection with future organic growth
opportunities, particularly in ultra-pure sulphuric acid and water
chemical products and the monetization of by-product hydrogen in
the Electrochemicals segment.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy securities, nor shall there be any
offer, solicitation or sale of the securities, in any jurisdiction
in which such offer, solicitation or sale would be unlawful.
About Chemtrade
Chemtrade operates a diversified business providing industrial
chemicals and services to customers in North America and around the world. Chemtrade
is one of North America's largest
suppliers of sulphuric acid, spent acid processing services,
inorganic coagulants for water treatment, sodium chlorate, sodium
nitrite, sodium hydrosulphite, and phosphorus pentasulphide.
Chemtrade is a leading regional supplier of sulphur, chlor-alkali
products, liquid sulphur dioxide, potassium chloride, and zinc
oxide. Additionally, Chemtrade provides industrial services such as
processing by-products and waste streams.
Caution Regarding Forward-Looking Statements
Certain statements contained in this news release constitute
forward-looking information within the meaning of certain
securities laws, including the Securities Act (Ontario). Forward-looking information can be
generally identified by the use of words such as "anticipate",
"continue", "estimate", "expect", "expected", "intend", "may",
"will", "project", "plan", "should", "believe" and similar
expressions. Specifically, forward-looking information in this news
release include statements respecting certain future expectations
about the Fund's expected use of the net proceeds of the Offering.
Forward-looking statements in this news release describe the
expectations of the Fund and its subsidiaries as of the date
hereof.
These statements are based on assumptions and involve known and
unknown risks, uncertainties and other factors that may cause
actual results or events to differ materially from those
anticipated in such forward-looking statements for a variety of
reasons, including without limitation the risks and uncertainties
detailed under the "Risk Factors" section of the Fund's latest
Annual Information Form and the "Risks and Uncertainties" section
of the Fund's most recent Management's Discussion &
Analysis.
Although the Fund believes the expectations reflected in these
forward-looking statements and the assumptions upon which they are
based are reasonable, no assurance can be given that actual results
will be consistent with such forward-looking statements, and they
should not be unduly relied upon. With respect to the
forward-looking statements contained in this news release, the Fund
has made assumptions regarding: there being no significant
disruptions affecting the operations of the Fund and its
subsidiaries, whether due to labour disruptions, supply
disruptions, power disruptions, transportation disruptions, damage
to equipment or otherwise; the timely receipt of required
regulatory approvals; and global economic performance.
Except as required by law, the Fund does not undertake to update
or revise any forward-looking statements, whether as a result of
new information, future events or for any other reason. The
forward-looking information contained herein are expressly
qualified in their entirety by this cautionary statement.
Further information can be found in the disclosure documents
filed by the Fund with the securities regulatory authorities,
available at www.sedar.com.
SOURCE Chemtrade Logistics Income Fund