Domtar to issue US$400 million of notes
03 August 2005 - 9:24AM
PR Newswire (US)
TICKER SYMBOL DTC (TSX, NYSE) MONTREAL, Aug. 2
/PRNewswire-FirstCall/ -- Domtar announced today that it has
entered into a definitive agreement with a group of underwriters
for the sale of an aggregate principal amount of US$400 million of
its 7.125 % notes due 2015 pursuant to a public offering in the
United States. The group of underwriters is led by J.P. Morgan
Securities Inc. and Citigroup Global Markets Inc. as joint
book-running managers. Domtar intends to use the gross proceeds
from the sale of the notes to redeem its 8.75% notes due in August
2006 in an aggregate principal amount of US$150 million and the
balance to repay a substantial portion of its unsecured revolving
credit facility. This communication shall not constitute an offer
to sell or the solicitation of an offer to buy, nor shall there be
any sale of these securities in any jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such
jurisdiction. This communication is not, and under no circumstances
is it to be construed as, an advertisement or a public offering of
these securities in Canada. A copy of the prospectus may be
obtained from J.P. Morgan Securities Inc., 270 Park Avenue, 8th
Floor, New York, New York 10017 (telephone: (212) 834-4533). DOMTAR
IS THE THIRD LARGEST PRODUCER OF UNCOATED FREESHEET PAPER IN NORTH
AMERICA. IT IS ALSO A LEADING MANUFACTURER OF BUSINESS PAPERS,
COMMERCIAL PRINTING AND PUBLICATION PAPERS, AND TECHNICAL AND
SPECIALTY PAPERS. DOMTAR MANAGES ACCORDING TO INTERNATIONALLY
RECOGNIZED STANDARDS 18 MILLION ACRES OF FORESTLAND IN CANADA AND
THE UNITED STATES, AND PRODUCES LUMBER AND OTHER WOOD PRODUCTS.
DOMTAR HAS 10,000 EMPLOYEES ACROSS NORTH AMERICA. THE COMPANY ALSO
HAS A 50% INVESTMENT INTEREST IN NORAMPAC INC., THE LARGEST
CANADIAN PRODUCER OF CONTAINERBOARD. DATASOURCE: DOMTAR INC.
CONTACT: Christian Tardif, Manager, Corporate and Financial
Communications, (514) 848-5515, christian.tardif@domtar; SOURCE:
Daniel Buron, Senior Vice President and Chief Financial Officer,
(514) 848-5234, ; To request a free copy of this organization's
annual report, please go to http://www.newswire.ca/ and click on
reports@cnw.
Copyright