Bell Canada announced some hybrid notes on 2026-2-9:
Bell Canada (Bell) today announced the offering of Cdn $1.5 billion aggregate principal amount of Fixed-to-Fixed Rate Junior Subordinated Notes in two series (the Offering).
The Cdn $750 million Fixed-to-Fixed Rate Junior Subordinated Notes, Series D due 2056 will be issued at a price of Cdn $99.975 per $100 principal amount, will initially bear interest at a rate per annum of 5.375% and reset every five years starting on May 12, 2031 at a rate per annum equal to the five-year Government of Canada yield plus a spread of 2.388%, provided that the interest rate during any five-year interest period will not reset below 5.375% (the Series D Notes). The Cdn $750 million Fixed-to-Fixed Rate Junior Subordinated Notes, Series E due 2056 will be issued at a price of Cdn $99.970 per $100 principal amount, will initially bearinterest at a rate per annum of 5.875% and reset every five years starting on May 12, 2036 at a rate per annum equal to the five-year Government of Canada yield plus a spread of 2.440%, provided that the interest rate during any five-year interest period will not reset below 5.875% (together with the Series D Notes, the Notes).
The Notes are being publicly offered in all provinces of Canada through a syndicate of agents. Closing of the Offering is expected to occur on February 12, 2026, subject to customary closing conditions. The Notes will be fully and unconditionally guaranteed by BCE Inc.
Bell intends to use the net proceeds from the Offering to repurchase, redeem or repay, as applicable, senior or subordinated indebtedness of Bell and for other general corporate purposes.
The Offering is being made pursuant to Bell’s amended and restated short form base shelf prospectus dated February 6, 2025 (the amended and restated base shelf prospectus). Bell willfile a prospectus supplement to the amended and restated base shelf prospectus relating to this Offering with the securities regulatory authorities in all provinces of Canada.
Only a thirty-year term on both series, but the Series D’s 5.375+2.388M5.375 as interest is a lot cheaper to issue than any preferred shares I’ve seen lately! It’s an interesting wrinkle that Series E has a ten-year initial fixed rate period.
| HIMIPref™ Preferred Indices These values reflect the December 2008 revision of the HIMIPref™ Indices Values are provisional and are finalized monthly |
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| Index | Mean Current Yield (at bid) |
Median YTW |
Median Average Trading Value |
Median Mod Dur (YTW) |
Issues | Day’s Perf. | Index Value |
| Ratchet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.0000 % | 2,488.1 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.0000 % | 4,717.8 |
| Floater | 5.79 % | 6.10 % | 61,079 | 13.69 | 3 | 0.0000 % | 2,718.9 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1183 % | 3,653.7 |
| SplitShare | 4.78 % | 4.36 % | 75,701 | 3.01 | 5 | -0.1183 % | 4,363.4 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1183 % | 3,404.5 |
| Perpetual-Premium | 5.69 % | 5.76 % | 88,289 | 14.09 | 7 | -0.0736 % | 3,078.5 |
| Perpetual-Discount | 5.61 % | 5.71 % | 49,273 | 14.29 | 28 | 0.1033 % | 3,376.7 |
| FixedReset Disc | 5.89 % | 5.77 % | 120,842 | 13.93 | 27 | -0.3414 % | 3,195.3 |
| Insurance Straight | 5.56 % | 5.59 % | 66,184 | 14.51 | 22 | -2.1115 % | 3,273.7 |
| FloatingReset | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.3414 % | 3,801.2 |
| FixedReset Prem | 5.95 % | 4.37 % | 85,464 | 2.50 | 21 | 0.0146 % | 2,666.9 |
| FixedReset Bank Non | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.3414 % | 3,266.3 |
| FixedReset Ins Non | 5.26 % | 5.23 % | 94,750 | 14.77 | 14 | 0.2791 % | 3,139.9 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| GWO.PR.T | Insurance Straight | -18.84 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 18.67 Evaluated at bid price : 18.67 Bid-YTW : 6.91 % |
| CU.PR.H | Perpetual-Discount | -8.12 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 22.12 Evaluated at bid price : 22.40 Bid-YTW : 5.89 % |
| BN.PR.T | FixedReset Disc | -5.99 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 20.40 Evaluated at bid price : 20.40 Bid-YTW : 6.23 % |
| CU.PR.F | Perpetual-Discount | -3.57 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 20.00 Evaluated at bid price : 20.00 Bid-YTW : 5.67 % |
| GWO.PR.L | Insurance Straight | -2.35 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.91 Evaluated at bid price : 24.15 Bid-YTW : 5.85 % |
| BIP.PR.E | FixedReset Prem | -1.75 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.67 Evaluated at bid price : 25.30 Bid-YTW : 5.75 % |
| GWO.PR.H | Insurance Straight | -1.70 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 21.25 Evaluated at bid price : 21.52 Bid-YTW : 5.63 % |
| IFC.PR.I | Insurance Straight | -1.69 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.61 Evaluated at bid price : 23.90 Bid-YTW : 5.74 % |
| CIU.PR.A | Perpetual-Discount | -1.43 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 20.70 Evaluated at bid price : 20.70 Bid-YTW : 5.60 % |
| MFC.PR.M | FixedReset Ins Non | -1.36 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.15 Evaluated at bid price : 24.66 Bid-YTW : 5.23 % |
| GWO.PR.I | Insurance Straight | -1.26 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 20.85 Evaluated at bid price : 20.85 Bid-YTW : 5.40 % |
| BN.PF.E | FixedReset Disc | -1.10 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 22.53 Evaluated at bid price : 23.35 Bid-YTW : 5.73 % |
| PWF.PR.E | Perpetual-Discount | -1.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.87 Evaluated at bid price : 24.12 Bid-YTW : 5.76 % |
| FTS.PR.K | FixedReset Disc | 1.33 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 22.83 Evaluated at bid price : 23.70 Bid-YTW : 5.20 % |
| ENB.PR.B | FixedReset Disc | 1.51 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 21.29 Evaluated at bid price : 21.57 Bid-YTW : 6.04 % |
| NA.PR.I | FixedReset Prem | 1.62 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2029-05-01 Maturity Price : 25.00 Evaluated at bid price : 26.42 Bid-YTW : 5.01 % |
| CCS.PR.C | Insurance Straight | 1.80 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.41 Evaluated at bid price : 23.70 Bid-YTW : 5.35 % |
| PWF.PR.S | Perpetual-Discount | 2.69 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 21.47 Evaluated at bid price : 21.73 Bid-YTW : 5.58 % |
| MFC.PR.J | FixedReset Ins Non | 2.82 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2028-03-19 Maturity Price : 25.00 Evaluated at bid price : 25.52 Bid-YTW : 4.97 % |
| IFC.PR.A | FixedReset Ins Non | 3.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 21.60 Evaluated at bid price : 22.00 Bid-YTW : 5.23 % |
| CU.PR.G | Perpetual-Discount | 25.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 20.32 Evaluated at bid price : 20.32 Bid-YTW : 5.58 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| NA.PR.C | FixedReset Prem | 70,851 | YTW SCENARIO Maturity Type : Call Maturity Date : 2027-11-15 Maturity Price : 25.00 Evaluated at bid price : 26.46 Bid-YTW : 3.69 % |
| MFC.PR.M | FixedReset Ins Non | 64,100 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.15 Evaluated at bid price : 24.66 Bid-YTW : 5.23 % |
| CU.PR.K | Perpetual-Discount | 24,300 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 24.54 Evaluated at bid price : 24.93 Bid-YTW : 5.64 % |
| MFC.PR.L | FixedReset Ins Non | 15,021 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.26 Evaluated at bid price : 24.80 Bid-YTW : 5.07 % |
| CU.PR.C | FixedReset Disc | 11,700 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 24.53 Evaluated at bid price : 24.85 Bid-YTW : 5.23 % |
| FTS.PR.G | FixedReset Disc | 10,275 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-03 Maturity Price : 23.41 Evaluated at bid price : 24.82 Bid-YTW : 5.08 % |
| There were 0 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| See TMX DataLinx: ‘Last’ != ‘Close’ and the posts linked therein for an idea of why these quotes are so horrible. | ||
| Issue | Index | Quote Data and Yield Notes |
| GWO.PR.T | Insurance Straight | Quote: 18.67 – 23.52 Spot Rate : 4.8500 Average : 2.8546 YTW SCENARIO |
| CU.PR.H | Perpetual-Discount | Quote: 22.40 – 24.55 Spot Rate : 2.1500 Average : 1.4133 YTW SCENARIO |
| BN.PR.T | FixedReset Disc | Quote: 20.40 – 21.99 Spot Rate : 1.5900 Average : 0.9023 YTW SCENARIO |
| BN.PF.B | FixedReset Disc | Quote: 24.57 – 25.57 Spot Rate : 1.0000 Average : 0.5748 YTW SCENARIO |
| CU.PR.F | Perpetual-Discount | Quote: 20.00 – 21.00 Spot Rate : 1.0000 Average : 0.6444 YTW SCENARIO |
| CU.PR.C | FixedReset Disc | Quote: 24.85 – 25.85 Spot Rate : 1.0000 Average : 0.6952 YTW SCENARIO |