/NOT FOR RELEASE OVER US NEWSWIRE SERVICES OR DISSEMINATION IN THE US/
MONTREAL, June 12, 2025 /CNW/ - Dollarama Inc. (TSX: DOL) ("Dollarama" or the "Corporation") announced today that it has priced an offering (the "Offering") of $600 million aggregate principal amount of 3.850% senior unsecured notes due December 16, 2030 (the "Notes").
The Notes are being offered through an agency syndicate consisting of RBC Dominion Securities Inc., National Bank Financial Markets and TD Securities Inc., as Joint Bookrunners, CIBC World Markets Inc., as Joint Lead Manager, and including Desjardins Securities Inc., Scotia Capital Inc., BMO Nesbitt Burns Inc., Merrill Lynch Canada Inc., and Casgrain & Company Limited. The Offering is expected to close on or about June 16, 2025, subject to customary closing conditions.
The Notes will be issued at par for aggregate gross proceeds of $600 million and will bear interest at a fixed rate of 3.850% per annum, payable semi-annually, until maturity on the 16th day of June and December of each year, commencing on December 16, 2025.
The Corporation intends to use the net proceeds of the Offering to repay the $250 million aggregate principal amount of the Corporation's outstanding 5.084% senior unsecured notes due October 27, 2025 which will be repaid in full at maturity, and for general corporate purposes.
The Notes will be direct unsecured obligations of Dollarama and will rank pari passu with all other unsecured and unsubordinated indebtedness of Dollarama. The Notes have been assigned a provisional rating of BBB (high), with a stable trend, by DBRS Limited, and are being offered in Canada on a private placement basis in reliance upon exemptions from the prospectus requirements under applicable securities legislation.
The Notes have not been and will not be qualified for sale to the public under applicable securities laws in Canada and, accordingly, any offer and sale of the Notes in Canada will be made on a basis which is exempt from the prospectus requirements of such securities laws. The Notes have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or the securities laws of any other jurisdiction, and may not be offered or sold in the United States absent registration under, or an applicable exemption from the registration requirements of, the U.S. Securities Act. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any offer to sell or a solicitation of an offer to buy the Notes in any jurisdiction where it is unlawful to do so.
Forward-Looking Statements
Certain statements in this press release about the timing and completion of the Offering, the expected use of the net proceeds of the Offering, and any other future events or developments constitute forward-looking statements. Forward looking statements are based on information currently available to management and on estimates and assumptions made by management in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that are believed to be appropriate and reasonable in the circumstances. However, there can be no assurance that such estimates and assumptions will prove to be correct. Many factors could cause future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the factors discussed in the "Risks and Uncertainties" section of the Corporation's annual management's discussion and analysis (MD&A) for the fiscal year ended February 2, 2025 and for the first quarter ended May 4, 2025 and in the Corporation's other continuous disclosure filings, which are available on SEDAR+ at www.sedarplus.ca.
These factors are not intended to represent a complete list of the factors that could affect us; however, they should be considered carefully. The purpose of the forward-looking statements is to provide the reader with a description of management's expectations regarding the Offering and other future events, and may not be appropriate for other purposes. The closing of the Offering is subject to general market and other conditions and there can be no assurance that the Offering will be completed or that the terms of the Offering will not be modified.
Readers should not place undue reliance on forward-looking statements made herein. Furthermore, unless otherwise stated, the forward-looking statements contained in this press release are made as at June 12, 2025, and the Corporation 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 law. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
About Dollarama
Founded in 1992 and headquartered in Montréal, Quebec, Canada, Dollarama is a recognized Canadian value retailer offering a broad assortment of consumable products, general merchandise and seasonal items both in-store and online. With stores in all Canadian provinces and two territories, our 1,638 locations across Canada provide customers with compelling value in convenient locations, including metropolitan areas, midsized cities and small towns. Our quality merchandise is sold at select fixed price points up to $5.00.
Dollarama also owns a 60.1% interest in Dollarcity, a growing Latin American value retailer. Dollarcity offers a broad assortment of consumable products, general merchandise and seasonal items at select, fixed price points up to US$4.00 (or the equivalent in local currency) in 644 conveniently located stores in Colombia, Guatemala, El Salvador and Peru.
