CPKC arranges $1.2-billion (U.S.) note offering

Executive Summary

• Canadian Pacific Kansas City Ltd. (via its subsidiary Canadian Pacific Railway Company) announced a US $1.2 billion debt offering consisting of two tranches of notes.
• The proceeds are designated primarily for the refinancing of existing indebtedness and general corporate purposes.
• The transaction is being managed by a syndicate of major investment banks and is expected to close on March 6, 2026.

Key Details

• Total Offering Size: US $1.2 billion.
• Tranche 1: US $600 million of 4.000% notes due 2029.
• Tranche 2: US $600 million of 5.500% notes due 2056.
• Guarantor: CPKC guarantees the notes.
• Use of Proceeds: Primarily for refinancing outstanding indebtedness and general corporate purposes; unutilized proceeds may be invested in short-term investment-grade securities or bank deposits.
• Closing Date: Expected to close on March 6, 2026, subject to customary conditions.
• Joint Active Bookrunners: Goldman Sachs & Co. LLC, Barclays Capital Inc., Citigroup Global Markets Inc., and SMBC Nikko Securities America Inc.
• Syndicate Participants: BMO Capital Markets Corp., CIBC World Markets Corp., RBC Capital Markets LLC, Scotia Capital (USA) Inc., BofA Securities Inc., Morgan Stanley & Co. LLC, Wells Fargo Securities LLC, ATB Capital Markets Corp., Desjardins Securities Inc., and U.S. Bancorp Investments Inc.
• Regulatory Basis: Offering made pursuant to an effective shelf registration statement filed with the SEC.

Notable Quotes

• None provided in the text.