For Immediate Release Toronto Stock Exchange: BPF.UN
BOSTON PIZZA
INTERNATIONAL INC. ANNOUNCES BOUGHT DEAL
VANCOUVER, BC,
(March 4, 2014) - Boston Pizza
International Inc. (“BPI”) announced
today that BPI, together with persons controlled by BPI’s chairmen and owners,
Walter James (Jim) Treliving and George C. Melville (the “Chairmen”), have entered into an agreement with TD Securities Inc.
to complete a secondary offering of units (the “Units”) of Boston Pizza Royalties Income Fund (the “Fund”).
Under the agreement, a syndicate of investment
dealers led by TD Securities Inc. has agreed to purchase 1,677,506 Units at a
purchase price of $21.10 per Unit for gross proceeds of $35.4 million (the “Transaction”). The Transaction is expected to close on or about
March 10, 2014.
BPI currently holds 6,819,532 Class B
general partner units of Boston Pizza Royalties Limited Partnership (“Class B Units”), which are
exchangeable for 2,645,931 Units. As
part of the Transaction, BPI will exchange 2,036,135 Class B Units
for 790,006 Units and will sell those Units
to the syndicate of investment dealers.
The other 887,500 Units are currently held by persons controlled by the
Chairmen and will be sold by those persons to the syndicate of investment
dealers.
The Class B Units held by BPI, together with
all Units controlled by the Chairmen, represent the equivalent of 3,535,031
Units or a 19.9% interest in Boston Pizza Royalties Income Fund (the “Fund”) on a fully-diluted basis. Following the closing of the Transaction, the
Class B Units then held by BPI, together with all Units then controlled by
the Chairmen, will represent the equivalent of 1,857,525 Units or a 10.5%
interest in the Fund on a fully-diluted basis.
The Fund will not receive any proceeds from the Transaction.
FOR FURTHER INFORMATION PLEASE CONTACT:
Boston Pizza Royalties Income Fund
Jordan Holm - Vice President of Investor Relations
Tel: 604-303-6083
investorrelations(at)bostonpizza.com
www.bpincomefund.com
® Boston Pizza Royalties Limited Partnership. All Boston Pizza registered Canadian trade-marks and unregistered Canadian trade-marks containing the words "Boston", "BP", and/or "Pizza" are trade-marks owned by the Boston Pizza Royalties Limited Partnership and licensed by the Boston Pizza Royalties Limited Partnership to Boston Pizza International Inc.
© Boston Pizza International Inc. 2014