Press Releases

  • Friday, August 24, 2007
    GENIVAR Income Fund announces $54 million equity financing

    /Not for distribution to U.S. news wire services or dissemination in the U.S./

    MONTREAL, Aug. 23 - GENIVAR Income Fund (TSX:GNV.UN) ("GENIVAR" or the "Fund") today announced that it has agreed to issue 1,902,439 trust units (the "Units") from treasury of the Fund on a bought deal basis to a syndicate of underwriters led by National Bank Financial Inc., Raymond James Ltd. and TD Securities Inc. and also including a syndicate of underwriters. The Units will be offered at a price of $20.50 per Unit. The gross proceeds of the offering to the Fund will be $39 million. The Units will be offered by way of short form prospectus in each of the provinces of Canada, as well as in the United States under applicable private placement exemptions. The financing is subject to all normal regulatory approvals and is expected to close on or about September 13, 2007.

    GENIVAR Inc. will concurrently purchase, directly or indirectly, on a private placement basis non-subordinate exchangeable LP units (the "LP Units") from treasury of GENIVAR LP at a price of $20.50 per LP Unit (the "Private Placement"). The gross proceeds of the Private Placement to the Fund will be $15 million.

    The net proceeds of the financing will be used for debt repayment and for general corporate purposes of the Fund.

    The Fund distributes distributable income on a monthly basis to unitholders of record on the last business day of each month. Payments are made on or about the 15th day after each record date. The first distribution that purchasers of the Units offered will be entitled to receive is the distribution expected to be paid on October 15, 2007 to holders of record on September 30, 2007 for the period of September 1, 2007 to September 30, 2007.

    This news release shall not constitute an offer to sell or the solicitation of any 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. The Units offered will not be and have not been registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold in the United States except pursuant to exemptions from the registration requirements of the U.S. Securities Act and applicable state securities laws.

    Forward Looking Information

    Certain information regarding GENIVAR contained herein may constitute forward-looking statements. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although GENIVAR believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. These statements are subject to certain risks and uncertainties and may be based on assumptions that could cause actual results to differ materially from those anticipated or implied in the forward-looking statements. GENIVAR's forward-looking statements are expressly qualified in their entirety by this cautionary statement.

    About GENIVAR

    GENIVAR is a leading Canadian Engineering Services firm providing private and public sector clients with a comprehensive range of professional consulting services through all execution phases of a project including planning, design, construction and maintenance. Clients fall into various market segments such as building, industrial and power, urban infrastructure, transportation and environment. GENIVAR is one of the largest Engineering Services firm in Canada in terms of number of employees with more than 2,000 managers, professionals, technicians and technologists and support staff in some 40 offices in Canada and internationally.

    GENIVAR Income Fund:
    Pierre Shoiry,
    President and CEO,
    (514) 346-0046;

    Marcel Boucher,
    Chief Financial Officer,
    (514) 346-0046