RioCan arranges $200-million debenture offering

Executive Summary

• RioCan Real Estate Investment Trust has agreed to issue $200 million in principal amount of Series AQ senior unsecured debentures.
• The debentures carry a coupon of 4.308% per annum, mature on March 11, 2033, and are priced at $100 per $100 principal amount.
• Net proceeds will primarily be used to repay existing indebtedness at or prior to maturity, with any balance reserved for general business purposes.

Key Details

• Instrument: Series AQ Senior Unsecured Debentures.
• Principal Amount: $200,000,000.
• Price: $100 per $100 principal amount.
• Coupon Rate: 4.308% per annum.
• Maturity Date: March 11, 2033.
• Use of Proceeds: Repayment of existing indebtedness at or prior to maturity; balance for general business purposes.
• Closing Date: Expected to close on March 11, 2026, subject to customary closing conditions.
• Underwriters/Agents: Syndicate co-led by TD Securities, Desjardins Capital Markets, RBC Capital Markets, BMO Capital Markets, CIBC Capital Markets, and Scotia Capital.
• Credit Rating: Morningstar DBRS confirmed the issuer rating and senior unsecured debenture credit rating of RioCan at BBB with a positive trend. A condition of closing is that Morningstar DBRS assigns a rating of at least BBB with a positive trend for the debentures.
• Offering Basis: Private placement in each of the provinces of Canada.
• Ranking: The debentures rank equally with all other senior unsecured indebtedness of the trust.
• Governing Document: Issued pursuant to RioCan's trust indenture dated March 8, 2005, as supplemented.