Our Calgary office assisted Gibson Energy Inc. in its recent offering of C$1.1bn of notes, consisting of C$900m of medium-term notes and C$200m of hybrid notes.

 

The offering of C$900m of senior unsecured medium-term notes consists of C$350m of 5.80% senior unsecured medium-term notes due 2026, C$350m of 5.75% senior unsecured medium-term notes due 2033 and C$200m of 6.20% senior unsecured medium-term notes due 2053 (collectively, the Senior Notes).

 

The offering of C$200m of hybrid notes was 8.70% fixed-to-fixed rate subordinated notes due 2083 callable in 5 years at par.

 

Gibson intends to use the net proceeds from the offering to fund a portion of the purchase price for its acquisition of South Texas Gateway Terminal LLC announced on June 14, 2023, and to fund fees and expenses associated with the purchase, including financings.