Chesswood Group Limited Completes Acquisition

On March 18, 2015, Chesswood Group Limited announced that it had completed the acquisition of all of the shares in the capital of, and certain shareholder loan receivables in respect of, Blue Chip Leasing Corporation and EcoHome Financial Inc. pursuant to a share purchase agreement between Chesswood, CB Leaseco Holdings Inc. (the “Vendor”), and the principals of the Vendor made as of February 25, 2015. The aggregate purchase price for the acquisition (subject to additional consideration in the event that the future performance of Blue Chip and EcoHome exceed performance targets) was $64,000,000 (of which approximately $19,444,000 was satisfied through the issue of 1,806,384 Chesswood common shares, with the balance paid in cash).

The cash portion of the purchase price was partially funded through a public offering of 3,302,600 subscription receipts at a price of $9.75 per subscription receipt pursuant to an underwriting agreement with a syndicate of underwriters led by RBC Capital Markets and including BMO Capital Markets, National Bank Financial Inc., TD Securities Inc. Cormark Securities Inc., Canaccord Genuity Corp. and Laurentian Bank Securities Inc.

The Vendor and its principals were represented by Aird & Berlis LLP with a team that included Richard Epstein (Corporate/M&A), Richard Kimel (Corporate Finance/M&A), Francesco Gucciardo (Tax), Jonathan Tong (Corporate Finance/M&A), Jill Fraser (Financial Services) and Jeremy Burke (Corporate/M&A).