Business
AltaGas Ltd. Closes $500 Million Medium Term Note Offering
AltaGas Ltd. Closes $500 Million Medium Term Note Offering Canada NewsWire CALGA...
About this update from Altagas Ltd.
[{"type":"text","content":"\n\n\n\nAltaGas Ltd. Closes $500 Million Medium Term Note Offering\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, AB, June 10, 2020\n\n\n\nCALGARY, AB, June 10, 2020 /CNW/ - AltaGas Ltd. (\"AltaGas\") (TSX: ALA) today announced that it has completed its issue of $500 million of senior unsecured medium term notes (the \"Notes\") with a coupon rate of 2.157 percent, maturing on June 10, 2025 (the \"Offering\").\nThe net proceeds resulting from the Offering will be used to pay down existing indebtedness under AltaGas' credit facility and for general corporate purposes.  As a result, AltaGas expects that the Offering will be leverage neutral.  Additionally, because the coupon rate of the Notes is lower than the borrowing rate of the existing debt that it is replacing and the prior notes which were repaid in June 2020, AltaGas expects cost savings of approximately $5.6 million per annum over the term of the Notes as a result of the debt repayment. With the Offering completed, AltaGas has successfully refinanced all of the 2020 maturities across the AltaGas group of companies. \nThe Offering was made through a syndicate of investment dealers co-led by Scotiabank and TD Securities Inc. under AltaGas' Short Form Base Shelf Prospectus dated September 25, 2019, Prospectus Supplement dated December 10, 2019 and a related Pricing Supplement dated June 8, 2020.  \nThis news release does not constitute an offer to sell or the solicitation of an offer to buy any of the Notes in any jurisdiction. The Notes have not been approved or disapproved by any regulatory authority. The Notes have not been and will not be registered under the United States Securities Act of 1933, as amended (the \"U.S. Securities Act\"), or any state securities laws, and may not be offered or sold within the United States unless an exemption from the registration requirements of the U.S. Securities Act is available.\nAll financial figures are in Canadian dollars.\nAbout AltaGas\nAltaGas is a leading North American energy infrastructure company that connects NGLs and natu...