CANADIAN UTILITIES LIMITED ANNOUNCES PREFERRED SHARE ISSUE

Executive Summary

• Canadian Utilities Limited entered into an underwriting agreement for a $175 M preferred share offering (7,000,000 Series JJ shares at $25.00 each).
• An over‑allotment option for up to 1,050,000 additional shares could increase total gross proceeds to $201.25 M.
• Proceeds are earmarked for capital expenditures and general corporate purposes; the shares carry a 5.60% cumulative dividend and redemption schedule through 2035.

Key Details

• Offering Size: 7,000,000 Series JJ Cumulative Redeemable Second Preferred Shares at $25.00 per share.
• Gross Proceeds: $175,000,000 (potentially $201,250,000 if full over‑allotment exercised).
• Underwriters: Syndicate co‑led by BMO Capital Markets and RBC Capital Markets; participants include TD Securities Inc., Scotiabank, CIBC Capital Markets, National Bank Financial Inc., and ATB Capital Markets.
• Dividend Rate: Fixed cumulative preferential cash dividend of $1.40 per share annually (5.60% yield), payable quarterly when declared.
• Redemption Terms:
• $26.00 per share if redeemed during the 12‑month period starting March 1, 2031.
• $25.75 per share for March 1, 2032 – March 1, 2033 period.
• $25.50 per share for March 1, 2033 – March 1, 2034 period.
• $25.25 per share for March 1, 2034 – March 1, 2035 period.
• $25.00 per share on or after March 1, 2035, plus accrued unpaid dividends.
• Over‑Allotment Option: Up to 1,050,000 additional shares may be purchased at the offering price within 30 days post‑closing.
• Closing Date: Expected on or about November 27, 2025.
• Use of Proceeds: Capital expenditures and other general corporate purposes.
• Listing: Application to list Series JJ Preferred Shares on the Toronto Stock Exchange (TSX) pending fulfillment of listing requirements.

Notable Quotes

(No executive quotes were provided in the release.)