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Supremex Completes Sale-Leaseback of Two Properties
Globenewswireยท 2025-07-10 11:00
Core Viewpoint - The transaction completed by Supremex Inc. unlocks significant value for shareholders and enhances the company's financial flexibility to execute its business strategy and return value to shareholders [1][3]. Group 1: Transaction Details - Supremex completed a sale-leaseback transaction for its two owned properties, generating gross proceeds of $53.0 million, subject to post-closing adjustments [1][2]. - The properties sold are located in LaSalle, Quebec, and Etobicoke, Ontario, which house the company's primary envelope sales and manufacturing facilities [2]. - Supremex entered into lease agreements for an initial term of 10 years with three five-year renewal options at fair market rent [2]. Group 2: Financial Impact - The transaction significantly strengthens Supremex's balance sheet and provides greater financial flexibility, which, combined with strong free cash flow generation, will support the company's strategic objectives and profitable growth [3]. Group 3: Company Overview - Supremex is a leading North American manufacturer and marketer of envelopes and a growing provider of paper-based packaging solutions, operating ten manufacturing facilities in Canada and five in the United States, employing approximately 900 people [4].