Troubled Quebecor World Nixes Financing Plan
MONTREAL—With its stock value plummeting and a weak credit market causing it to nix a refinancing plan, Quebecor World appears destined for major changes in 2008.
On the eve of executing a refinancing program in late November, Quebecor World had to back away from its plan to offer C$250 million worth of shares, C$500 million in new debt securities and amendments to secured debt. North America’s second largest printer gave “adverse financial market conditions” as the official reason. The company is hiring independent financial advisors to explore strategic options.
The day before Thanksgiving, Quebecor World’s shares on the Toronto Stock Exchange sank 9 percent and its stock value, more than C$3 billion about five years ago, now stood at roughly C$212 million, the Canadian Press reported.