Rogers Communications Inc. priced US$1 billion of U.S. subordinated notes and Cdn$600 million of Canadian subordinated notes. Investors will see the proceeds directed toward redeeming or purchasing existing subordinated notes due 2081 and 2082, with both offerings expected to close on September 23, subject to customary conditions.

Key Highlights

  • The U.S. notes comprise two US$500 million tranches carrying fixed-to-fixed rates of 7.150% and 7.400%.
  • Expected net proceeds total approximately US$990 million from the U.S. notes and $595 million from the Canadian notes.
  • Rogers expects both offerings to close on September 23, subject to customary closing conditions.

Rogers Communications Inc. (NYSE: RCI) priced US$1 billion of U.S. subordinated notes and Cdn$600 million of Canadian subordinated notes. The fixed-to-fixed offerings give Rogers proceeds intended for the Redemption or full or partial purchase of two existing subordinated note series.

$1 Billion U.S. Offering and Cdn$600 Million Placement

The U.S. transaction consists of two US$500 million subordinated note tranches, one bearing 7.150% and the other 7.400%, with both due 2057. Rogers also priced a Canadian private Placement of $600 million in fixed-to-fixed subordinated notes carrying 6.000% and due 2057. Net proceeds are expected to reach approximately US$990 million from the U.S. notes and $595 million from the Canadian notes. The U.S. notes are not being offered in Canada, while the Canadian notes are being offered exclusively to Canadian provincial residents.

Proceeds Target 2081 and 2082 Notes

The stated use of proceeds links the new financing to those two existing note series. Both offerings are expected to close on September 23, subject to customary closing conditions.