New Look Vision Group’s $50 Million Private Placement to Help Fund Iris Acquisition
MONTREAL—New Look Vision Group Inc. (TSX:BCI) reported this week that it has completed a previously announced private placement of subscription receipts for aggregate gross proceeds of $50 million. In a statement, New Look Vision said it intends to use the proceeds of the offering, along with funds obtained from its credit facilities, to fund the previously announced acquisition of all of Iris Le Groupe Visuel (1990) Inc. As VMail reported, New Look Vision entered into a definitive agreement earlier this month to acquire Iris Le Groupe Visuel, a leading retail eyecare provider across Canada with a network of 150 locations (comprised of 53 corporate, 77 jointly owned and 20 franchise locations). The acquisition is expected to close on or about Oct. 1, subject to usual closing conditions, according to New Look’s announcement this week. Upon closing of the deal, the new combined entity will have estimated annual system-wide revenues exceeding $315 million, estimated consolidated annual revenues exceeding $265 million and a store network in excess of 375 locations, according to New Look’s July 4 announcement. In the offering, New Look Vision issued an aggregate of 1,616,000 subscription receipts at a price of $30.94 per subscription receipt. Each subscription receipt entitles the holder to receive one Class A common share of New Look Vision. New Look Vision is a leader in the eyecare industry in Canada with its network of 227 corporate stores under the New Look Eyewear, Vogue Optical and Greiche & Scaff banners and laboratory facilities.