Rogers Prices $1.6B Debt Offering to Redeem Older Notes

Rogers Communications has priced a combined $1.59 billion U.S. and Canadian subordinated notes offering to refinance older debt maturities, according to an Investing.com report. The transaction spans both domestic and international debt markets as the telecommunications company manages its long-term borrowing costs.

The financing consists of a $1 billion public offering in the United States and a C$600 million private placement in Canada. Both offerings are scheduled to close on September 23, 2026, subject to customary closing conditions.

U.S. and Canadian Tranche Details

The U.S. public offering is split equally into two tranches of fixed-to-fixed rate subordinated notes due in 2057. Rogers priced $500 million of the notes at a 7.150% coupon and an additional $500 million at a 7.400% coupon, yielding net proceeds of approximately $990 million.

Meanwhile, the Canadian private placement comprises C$600 million in 6.000% fixed-to-fixed rate subordinated notes, also maturing in 2057. This domestic tranche generated approximately C$595 million in net proceeds for the issuer.

Refinancing Older Subordinated Debt

Rogers plans to deploy the combined net proceeds from both tranches to redeem or purchase its existing higher-maturity obligations. Specifically, the capital will target the company's 5.00% Fixed-to-Fixed Rate Subordinated Notes due 2081 and its 5.25% Fixed-to-Fixed Rate Subordinated Notes due 2082.

"Rogers Communications has priced a combined U.S. and Canadian subordinated notes offering to refinance older, higher-maturity debt," according to the source report.

Subordinated notes rank below senior debt in the event of a company liquidation or bankruptcy, meaning investors assume higher risk and typically demand higher yields compared to senior secured or unsecured bonds. For corporate issuers, issuing hybrid or subordinated instruments can secure partial equity treatment from rating agencies, helping optimize capital structures while altering interest expense profiles.