On May 11, 2023, NFI Group Inc., a prominent bus and coach manufacturer specializing in electric mass mobility solutions, finalized an investment agreement with Coliseum Capital Management, LLC. Coliseum acquired 24,363,702 common shares at $6.1567 each, approximately C$8.251 per share, generating around C$201 million (US$150 million). This transaction is part of NFI's broader refinancing strategy to reduce debt and support general corporate activities.

Previously holding 12.4% of NFI’s shares, Coliseum now has the right to nominate a board member as long as it maintains at least a 10% stake. Adam Gray, a longstanding board member since 2012, has been re-elected.

The funds from this private placement are primarily allocated for debt repayment and working capital enhancement. NFI may also consider an alternative offering up to C$75 million, which would adjust Coliseum’s final share acquisition proportionally. Depending on the completion of this potential alternative offering, Coliseum’s resulting ownership would be between 25.39% and 33.39% of NFI's issued shares.

BMO Capital Markets served as financial advisor and private placement agent for this deal, while Torys LLP and Norton Rose Fulbright Canada LLP provided legal counsel to NFI and Coliseum, respectively. The closure of this private placement is subject to shareholder and regulatory approvals, with a special shareholder meeting scheduled for June 2023. Details of the agreement are available on SEDAR.