MONTREAL – Bell Canada has announced the public offering of $1 billion of MTN debentures in two series pursuant to its medium term notes (MTN) program.
The $400 million 3.50% MTN debentures, Series M-28, will be dated September 10, 2013, will mature on September 10, 2018, and will be issued at a price of Cdn $99.941 per $100 principal amount for a yield to the investor of 3.513% per annum compounded semi-annually. The $600 million 4.70% MTN debentures, Series M-29, will be dated September 10, 2013, will mature on September 11, 2023, and will be issued at a price of Cdn $99.897 per $100 principal amount for a yield to the investor of 4.713% per annum compounded semi-annually. The MTN debentures will be fully and unconditionally guaranteed by BCE Inc.
Bell said that the net proceeds of this offering will be used to finance the redemption, on August 9, 2013, of Bell Canada's $1,000,000,000 principal amount of 4.85% debentures, Series M-20, due June 30, 2014, which was financed on an interim basis by short term borrowings. Closing of the offering of the MTN Debentures is expected to occur on September 10, 2013.
