Canadian Utilities has announced:
it has closed its previously announced public offering of Cumulative Redeemable Second Preferred Shares Series AA, by a syndicate of underwriters co-led by BMO Capital Markets and RBC Capital Markets, and including TD Securities Inc. and Scotiabank. Canadian Utilities Limited issued 6,000,000 Series AA Preferred Shares for gross proceeds of $150 million. The Series AA Preferred Shares will begin trading on the TSX today under the symbol CU.PR.D. The proceeds will be used to fund the previously announced redemption of all of the outstanding Cumulative Redeemable Second Preferred Shares Series X of Canadian Utilities Limited.
CU.PR.D is a Straight Perpetual, 4.90%, announced May 30.
The issue is rated Pfd-2(high) by DBRS.
CU.PR.D traded 518,880 shares today in a range of 25.00-23 before closing at 25.03-09, 10×137. Vital statistics are:
Maturity Type : Limit Maturity
Maturity Date : 2042-06-18
Maturity Price : 24.64
Evaluated at bid price : 25.03
Bid-YTW : 4.90 %
It seems clear that both the company and the underwriters are pleased by the reception for this issue since – Whoops! I did it again! – an identical new issue was announced today. Well – it saves on legal fees!