Aimia Details Bozzetto Sale, Targets C$265M+ Proceeds for Debt Paydown and New Acquisitions

Core Viewpoint - Aimia is restructuring its balance sheet and investment strategy following the definitive agreement to sell its Bozzetto business, focusing on debt reduction and future acquisitions [2]. Group 1: Transaction Details - The sale of Bozzetto is expected to generate net proceeds between CAD 265 million and CAD 271 million at closing, anticipated within the next three months, subject to regulatory approvals [3]. - Bozzetto is valued at an enterprise value of CAD 411 million (EUR 255 million), with net debt of CAD 117 million, minority interests of CAD 16.5 million, and transaction costs of just under CAD 10 million [4]. Group 2: Rationale for Sale - The decision to sell Bozzetto was made to maximize shareholder value by monetizing the asset and using the proceeds to reduce holding-company indebtedness and pursue acquisitions of undervalued companies [5]. - Structural limitations of Bozzetto, including its geographic footprint and credit facilities, restricted Aimia's ability to utilize net operating losses and upstream cash, impacting capital deployment for share buybacks or investments [6]. Group 3: Tax Considerations - Aimia does not anticipate paying taxes on the gain from the Bozzetto transaction due to over CAD 500 million in capital tax loss carryforwards, with expectations to utilize these losses in the transaction [6].