The Blackstone Group Sells Further Mega Bloks Shares

Mega Bloks Inc. completed a secondary offering of common shares by the Blackstone Group on May 29, 2003. This transaction follows previous share offerings, which closed in 2002. Affiliates of the Blackstone Group sold 6,223,240 common shares for gross proceeds of $133,799,660. Merrill Lynch Canada Inc. led the underwriting syndicate, which included CIBC World Markets Inc., BMO Nesbitt Burns Inc., National Bank Financial Inc. and Canaccord Capital Corporation. On June 27, 2003, the underwriters exercised, in part, their over-allotment option, purchasing 304,467 common shares of Mega Bloks from affiliates of the Blackstone Group for gross proceeds of $6,546,041.

The Blackstone Group was represented by Wilson Neely and Gil Strauss of Simpson Thacher & Bartlett LLP in New York. Mega Bloks was represented in-house by Alain Tanguay, vice-president, finance, and in-house counsel Brahm Segal and Francis Harvey; and by McCarthy Tétrault LLP with a team that included Lorna Telfer, George Maziotis, Han-Ru Zhou and Stephanie Lee. The underwriting syndicate was represented by Osler, Hoskin & Harcourt LLP, with a team that included Ward Sellers, François Janson and François Leblanc.

Lawyer(s)

François Leblanc François Janson Edward A. Sellers Lorna J. Telfer Wilson S. Neely Stephanie Lee Gil J. Strauss George Maziotis

Firm(s)

Simpson Thacher & Bartlett LLP McCarthy Tétrault LLP Osler, Hoskin & Harcourt LLP