The Descartes Systems Group Inc., the global leader in uniting logistics-intensive businesses in commerce, today announced the pricing of its public offering of common shares in the United States and Canada. Descartes will offer 6,000,000 common shares at a price of US$35.50 per common share, for gross proceeds of US$213,000,000. The underwriters also have the option to purchase up to 900,000 additional common shares on the same terms and conditions, to cover their over-allocation position, if any, exercisable at any time not later than the 30th day after the date of the final prospectus supplement. If the option is exercised in full, the aggregate gross proceeds of the offering will be US$244,950,000. The offering is scheduled to close on June 10, 2019, subject to customary closing conditions and approval by the Toronto Stock Exchange.
Descartes intends to use the net proceeds of the offering to repay outstanding indebtedness under its revolving debt facility, for potential future acquisition opportunities and for general corporate purposes.
The offering is being made through an underwriting group with Barclays and RBC Capital Markets acting as joint book-running managers of the offering and as representatives of the underwriters, which include Scotiabank, BMO Capital Markets, CIBC Capital Markets, GMP Securities L.P., Raymond James Ltd., William Blair, Canaccord Genuity and TD Securities Inc.