By Paul A. Harris
St. Louis, May 2 - Shaw Communications Inc. priced a C$300 million issue of 6.15% 10-year senior notes at a 190 basis point spread to Government of Canada Treasuries on Tuesday, according to an informed source.
The spread price came on top of price talk.
The issue was sold at a dollar price of 98.052 resulting in a 6.417% yield.
TD Securities and RBC Capital Markets were joint bookrunners for the notes, which are registered in both Canada and the United States. CIBC World Markets, Scotia Capital, Merrill Lynch, NBF Securities and GMP were the co-managers.
Proceeds will be used to repay bank debt and for working capital.
Moody's Investors Service assigns its Ba2 rating to the notes. Standard & Poor's rates the notes BB+. Dominion Bond Rating Services rates the notes BB (high).
Shaw Communications is a Calgary, Alta.-based diversified Canadian communications company.
| Issuer: | Shaw Communications Inc.
|
| Amount: | C$300 million
|
| Maturity: | May 9, 2016
|
| Security description: | Senior notes
|
| Bookrunners: | TD Securities, RBC Capital Markets
|
| Co-managers: | CIBC World Markets, Scotia Capital, Merrill Lynch, NBF Securities, GMP
|
| Coupon: | 6.15%
|
| Price: | 98.052
|
| Yield: | 6.417%
|
| Spread: | 190 bps
|
| Call protection: | Callable at greater of par plus the Canada Yield Price or Government of Canada Treasuries plus 48 bps
|
| Trade date: | May 2
|
| Settlement date: | May 9
|
| Ratings: | Moody's: Ba2
|
| Standard & Poor's: BB+
|
| DBRS: BB (high)
|
| Distribution: | Registered in both United States and Canada
|
| Price talk: | Canadian government treasuries plus 190 bps
|
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