Morguard Announces Completion of $250 Million Offering of 5.00% Series I Senior Unsecured Debentures

Executive Summary

• Morguard Corporation completed a $250 million private placement of 5.00% Series I senior unsecured debentures, maturing October 14 2028.
• Net proceeds will be used to repay existing operating line‑of‑credit indebtedness and for general corporate purposes, strengthening the balance sheet.
• The offering attracted over $1 billion of demand from 38 investors, marking the largest order book in Morguard’s history and reflecting strong market confidence (DBRS “BB (high)”, Positive trend).

Key Details

• Offering size: $250 million aggregate principal amount.
• Interest rate / maturity: 5.00% per annum; maturity on October 14 2028.
• Underwriters / bookrunners: RBC Capital Markets and TD Securities (joint bookrunners and co‑lead agents).
• Rating: DBRS Morningstar – “BB (high)”, Positive trend.
• Placement method: Private placement in each Canadian province under Morguard’s trust indenture (dated Dec 10 2013, as supplemented).
• Use of proceeds: Repayment of indebtedness under operating lines of credit; general corporate purposes.
• Investor demand: >$1 billion order book from 38 buyers, including 15 new participants – the largest in company history.
• Ranking: Debentures rank pari passu with existing senior unsecured debentures.
• Regulatory note: Not registered under U.S. Securities Act; cannot be offered/sold in the United States absent registration or exemption.

Notable Quotes

• Paul Miatello, CFO & SVP: “This offering marks a significant milestone for Morguard… The exceptional demand is a testament to our proactive approach and strong investor relationships.”
• Angela Sahi, President & COO: “Our disciplined execution and strategic timing allowed us to secure anchor support… This transaction strengthens our balance sheet and positions Morguard for continued growth.”