By Toni Weeks
San Diego, May 31 - Rogers Communications Inc. priced an upsized C$1.1 billion of debt securities on Wednesday, according to a news release.
The deal included C$500 million of 3% senior notes due June 6, 2017 priced at 99.921 to yield 3.017%. This tranche was upsized from a C$300 million minimum, and pricing provides a spread of 165.1 basis points over the benchmark Canada 4% note due June 1, 2017.
The C$600 million tranche of 4% senior notes due June 6, 2022 was upsized from a C$500 million minimum, and it priced at 99.6 to yield 4.049%, providing a spread of 225.1 bps over the Canada 2.75% note due June 1, 2022.
RBC Capital Markets LLC and Scotia Capital (USA) Inc. were joint bookrunners, with TD Securities (USA) LLC, BMO Capital Markets Corp. and CIBC World Markets Corp. as co-managers.
Proceeds will be used to repay outstanding advances under Rogers' bank credit facility and for general corporate purposes, including funding some or all of Rogers' investment in a 37.5% ownership interest in Maple Leaf Sports & Entertainment.
Settlement is expected June 4.
The deal was originally expected to be at least C$800 million in size but had been expected to be up to C$1.25 billion.
The senior notes will be guaranteed by Rogers' wholly owned subsidiary, Rogers Communications Partnership.
Rogers is a Vancouver, B.C.-based diversified Canadian communications and media company.
| Issuer: | Rogers Communications Inc.
|
| Guarantor: | Rogers Communications Partnership
|
| Issue: | Senior notes
|
| Amount: | C$1.1 billion
|
| Bookrunners: | RBC Capital Markets LLC, Scotia Capital (USA) Inc.
|
| Co-managers: | TD Securities (USA) LLC, BMO Capital Markets Corp., CIBC World Markets Corp.
|
| Pricing date: | May 30
|
| Settlement date: | June 4
|
|
|
| Five-year notes
|
| Amount: | C$500 million
|
| Maturity: | June 6, 2017
|
| Coupon: | 3%
|
| Price: | 99.921
|
| Yield: | 3.017%
|
| Spread: | 165.1 bps over benchmark Canada 4% note due June 1, 2017
|
|
|
| 10-year notes
|
| Amount: | C$600 million
|
| Maturity: | June 6, 2022
|
| Coupon: | 4%
|
| Price: | 99.6
|
| Yield: | 4.049%
|
| Spread: | 225.1 bps over Canada 2.75% note due June 1, 2022
|
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