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Cenveo Announces Successful Completion of Supremex Income Fund Initial Public Offering

Press release from the issuing company

STAMFORD, Conn., March 31 -- Cenveo announced today that the Supremex Income Fund (the "Fund") successfully completed its initial public offering of 17.5 million units at CDN $10.00 per unit. The units began trading today on the Toronto Stock Exchange under the symbol SXP.UN. The total transaction value was approximately US$290 million, which is comprised of approximately US$190 million in cash proceeds, net of transactions expenses, and Cenveo's retained interest. Following the completion of the offering, Cenveo will hold an interest in the Fund through ownership of 11,447,439 units or 36.5% of the issued and outstanding units. Cenveo will also receive monthly cash distributions of CDN$0.0958 per unit, representing approximately US$11.4 million on an annualized basis based on current exchange rates. The Underwriters have been granted an option to purchase an additional 2.5 million Units at the offering price within 30 days from today's closing to cover over-allotments, if any. If the over-allotment option is exercised in full by the Underwriters, Cenveo's interest in the fund will be reduced to approximately 28.6%. Robert G. Burton, Chairman and Chief Executive Officer of Cenveo, stated: "The successful completion of this IPO represents another positive step as we continue the transformation of Cenveo. This transaction will deliver significant capital to our balance sheet and allows us to pursue domestic growth opportunities. We were able to sell our stake to the market at an enterprise value of approximately 8X EBITDA, which is consistent with our earlier expectations and represents a meaningful premium to other M&A transactions in the industry."

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