New Gold Announces Launch of $400 million Senior Notes Offering to Fund Redemption of Outstanding 6.25% Senior Notes
June 10 2020 - 8:54AM
Business Wire
(All dollar figures are in US dollars unless
otherwise indicated)
June 10, 2020 – New Gold Inc. (“New Gold” or the “Company”)
(TSX and NYSE American: NGD) today announced that it has
commenced an offering of $400 million aggregate principal amount of
Senior Notes due 2027 (the "Notes"). New Gold intends to use the
net proceeds from the offering of the Notes, together with cash on
hand, to fund the redemption of its outstanding 6.25% Senior Notes
due 2022 (the "Existing Notes"), and to pay related fees and
expenses.
Pursuant to the terms of the indenture governing the Existing
Notes, New Gold will issue a conditional notice of redemption to
redeem the outstanding Existing Notes, which redemption will be
conditional upon the successful completion of the offering of the
Notes.
The Notes will be offered and sold in the United States only to
persons reasonably believed to be qualified institutional buyers in
accordance with Rule 144A under the United States Securities Act of
1933, as amended (the "Securities Act"), and to non-U.S. persons
outside the United States in reliance on Regulation S under the
Securities Act. The Notes will be offered and sold in Canada on a
private placement basis pursuant to certain prospectus
exemptions.
The offer and sale of the Notes will not be registered under the
Securities Act and the Notes may not be offered or sold in the
United States or to U.S. persons absent registration or an
applicable exemption from the registration requirements of the
Securities Act and applicable state securities laws. This news
release shall not constitute an offer to sell or the solicitation
of an offer to buy the Notes, nor shall there be any offer or sale
of the Notes in any jurisdiction in which such offer, solicitation
or sale would be unlawful.
About New Gold Inc.
New Gold is a Canadian-focused intermediate gold mining company
with a portfolio of two core producing assets in Canada, the Rainy
River and New Afton Mines as well as the 100% owned Blackwater
development project. The Company also operates the Cerro San Pedro
Mine in Mexico (in reclamation). New Gold’s vision is to build a
leading diversified intermediate gold company based in Canada that
is committed to environment and social responsibility.
Cautionary Note Regarding Forward-Looking Statements
This news release contains “forward-looking statements” and
“forward-looking information” within the meaning of applicable
Canadian and U.S. securities legislation. All statements, other
than of historical fact, that address activities, events or
developments that New Gold believes, expects or anticipates will or
may occur in the future are forward-looking statements, including
the completion and timing of this offering and the intended use of
proceeds from this offering to redeem [a portion of] the Existing
Notes. Forward-looking statements are subject to known and unknown
risks, uncertainties and other factors that may cause the actual
results to be materially different from those expressed or implied
by such forward-looking statements. Although New Gold has attempted
to identify important factors that could cause actual results to
differ materially from those contained in forward-looking
statements, there may be other factors that cause results not to be
as anticipated, estimated or intended. There can be no assurance
that such statements will prove to be accurate, as actual results
and future events could differ materially from those anticipated in
such statements. Accordingly, readers should not place undue
reliance on forward-looking statements. New Gold does not undertake
to update any forward-looking statements, except in accordance with
applicable securities laws.
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version on businesswire.com: https://www.businesswire.com/news/home/20200610005444/en/
For further information, please contact: Anne Day Vice
President, Investor Relations Direct: +1 (416) 324-6003 Email:
anne.day@newgold.com
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