Canada’s Rogers Communications has priced a private offering of five series of US dollar denominated senior notes with an aggregate principal amount of USD7.05 billion, whilst also pricing a private offering of four series of Canadian dollar denominated senior notes with an aggregate principal amount of CAD4.25 billion (USD3.33 billion). Rogers expects to use the net proceeds from both offerings to pay a portion of the cash consideration for its pending acquisition of Shaw Communications and to pay associated fees and expenses.
The US dollar denominated senior notes consist of USD1.0 billion of 2.95% senior notes due 2025, USD1.3 billion of 3.20% senior notes due 2027, USD2.0 billion of 3.80% senior notes due 2032, USD750 million of 4.50% senior notes due 2042 and USD2 billion of 4.55% senior notes due 2052. The Canadian dollar denominated senior notes consist of CAD1.25 billion of 3.10% senior notes due 2025, CAD1.0 billion of 3.75% senior notes due 2029, CAD1.0 billion of 4.25% senior notes due 2032 and CAD1.0 billion of 5.25% senior notes due 2052.
The net proceeds from the issuance of the US and Canadian notes will be approximately USD6.95 billion and CAD4.22 billion, respectively. The offerings are each expected to close on 11 March 2022.
On 15 March 2021 Rogers agreed to buy 100% of Shaw for around CAD26 billion including CAD6 billion debt, with a target of completion in the first half of 2022.