Canadian Pacific Kansas City Limited (CPKC) has announced a US $1.2 billion debt offering through its subsidiary, Canadian Pacific Railway Company. The offering comprises US $600 million of 4.000% notes due 2029 and US $600 million of 5.500% notes due 2056, guaranteed by CPKC. The net proceeds from the offering will primarily be used for refinancing outstanding indebtedness and general corporate purposes.
The joint active bookrunners for the offering include Goldman Sachs & Co. LLC, Barclays Capital Inc., Citigroup Global Markets Inc., and SMBC Nikko Securities America, Inc., along with a syndicate of other firms. The offering is expected to close on March 6, 2026, subject to customary closing conditions.
The offering is being made pursuant to an effective shelf registration statement previously filed with the Securities and Exchange Commission. Notably, the underwriters have agreed not to offer or sell the securities in Canada or to any resident of Canada.
These developments come as CPKC seeks to refinance outstanding indebtedness and bolster its financial position for future growth and operational needs. Following these announcements, the company's shares moved 0.18%, and are now trading at a price of $72.52. For the full picture, make sure to review CANADIAN PACIFIC KAN's 8-K report.
