#Canada #Senior Notes #Private Placement #Cascades Inc. #Kingsey Falls

Cascades Inc. Prices $400 Million Senior Notes Offering

Cascades Inc. recently disclosed the pricing details of its private offering of $400 million aggregate principal amount of 6.750% Senior Notes, set to mature on July 15, 2030. This strategic move aims to refinance the company's current debt obligations and enhance its financial standing.

Offering Overview

Based in Kingsey Falls, QC, Cascades Inc. (TSX: CAS) is a leader in sustainable packaging, hygiene, and recovery solutions. According to the announcement made on May 28, 2025, the company will issue these notes at 100% of their principal amount. A notable aspect of this offering is that Cascades USA Inc., a wholly-owned subsidiary, will act as a co-issuer along with Cascades Inc. This collaboration signifies a robust commitment to secure capital in an efficient manner.

The closing of this offering is anticipated on June 11, 2025, provided customary closing conditions are met. The profits from this issuance will primarily be utilized for several key financial maneuvers, including:

• - Redeeming all outstanding $206 million of 5.125% Senior Notes due January 15, 2026.
• - Repaying a section of the borrowings incurred under its revolving credit facility.
• - Covering transaction fees and associated expenses related to this offering.

Regulatory Considerations

This offering comes with a critical regulatory framework. The Notes and corresponding guarantees are being offered exclusively to parties who are deemed qualified institutional buyers. This is in accordance with the exemption terms set forth in Rule 144A of the Securities Act of 1933, as well as other specific exemptions for non-U.S. persons outside the United States. Importantly, these securities have not been registered and thus cannot be sold within the U.S. or Canada absent registration or eligible exemptions.

Forward-Looking Statements

Cascades Inc. cautioned that certain statements regarding this offering are categorized as forward-looking, entailing various risks and uncertainties. These statements may include the anticipated terms of the notes, completion timelines, and the intended use of proceeds. It’s imperative for potential investors and stakeholders to be aware that actual results could differ considerably from these projections due to numerous factors, ranging from economic conditions, market demand, to competitive pressures.

Commitment to Sustainability

Founded in 1964, Cascades Inc. has established itself as a pioneer in providing innovative and sustainable solutions. With 9,600 employees spread across 66 operational facilities, including 17 recycling establishments, the company focuses on ecological responsibility while delivering value-added products to its clientele. Using its extensive industry experience and commitment to recycling, Cascades continues to innovate in a way that supports not just business objectives, but also the well-being of communities and the environment at large.

As Cascades Inc. ventures into this new phase with its senior notes offering, the market will be watching closely to see how it executes its financial strategies and enhances its operational capabilities in a competitive landscape.