Loblaw Companies Limited to Issue $500 Million of Senior Unsecured Notes

Executive Summary

• Loblaw Companies Limited announced a private placement of $500 million aggregate principal amount of senior unsecured notes bearing 4.387% interest, maturing June 16 2035.
• The notes will be sold at par to qualified accredited investors in Canada through a syndicate led by CIBC Capital Markets, RBC Capital Markets, TD Securities, BMO Capital Markets and Scotia Capital, with closing expected on December 16 2025.
• Net proceeds are earmarked to repay outstanding indebtedness under the company’s syndicated revolving credit facility and for general corporate purposes.

Key Details

• Offering Size: $500 million aggregate principal amount.
• Interest Rate: 4.387% per annum.
• Maturity Date: June 16 2035.
• Pricing: Notes sold at par (100%).
• Placement Structure: Private placement to qualified accredited investors in Canadian provinces only; not registered under U.S. securities laws.
• Lead Underwriters/Syndicate: CIBC Capital Markets, RBC Capital Markets, TD Securities, BMO Capital Markets, Scotia Capital.
• Closing Conditions: Subject to customary conditions; expected closing date December 16 2025.
• Rating Requirements: Minimum “BBB (high)” with a “Positive” trend from Morningstar DBRS and at least “BBB+” from S&P at closing.
• Security: Unsecured obligations, ranking equally with all existing and future unsecured, unsubordinated indebtedness of Loblaw.
• Use of Proceeds:
• Repayment of outstanding debt under the company’s syndicated revolving credit facility.
• General corporate purposes.

Notable Quotes

(No executive quotes were included in the release.)