Gaz Métro completes private placement of $125M Series T bonds

On October 6, 2016, Gaz Métro inc. (“GMi”) announced that it has completed a private placement of $125 million of Series T First Mortgage Bonds (“the Series T Bonds”). The Series T Bonds are secured by a guarantee as to payment of principal and interest by Gaz Métro Ltd. Partnership (“Gaz Métro”), together with collateral security backed by the assets of GMi and Gaz Métro.

The Series T Bonds, bearing interest at the rate of 3.28 per cent per annum, will mature on October 9, 2046.

The proceeds of the private placement were loaned by GMi to Gaz Métro on substantially similar terms as to interest rate and maturity, and are intended to be used by Gaz Métro to repay existing indebtedness and for general corporate purposes.

The Series T Bonds were offered on an agency basis through a syndicate of dealers led by BMO Nesbitt Burns Inc. and TD Securities Inc., as joint bookrunners and co-lead private placement agents, together with Desjardins Securities Inc., National Bank Financial Inc., CIBC World Markets Inc., RBC Dominion Securities Inc., Scotia Capital Inc., Laurentian Bank Securities Inc. and Casgrain & Company Ltd.

GMi and Gaz Métro were represented by Anne-Marie Gauthier, its Senior Legal Counsel, Finance and Corporate Affairs, assisted by a team from Davies Ward Phillips & Vineberg LLP comprising Franziska Ruf, Alain Roberge, Christine Lenis and Claudia Michaud.

Norton Rose Fulbright Canada LLP acted as Canadian counsel to the syndicate of dealers led by BMO Nesbitt Burns Inc. and TD Securities Inc. Norton Rose Fulbright’s team included David Lemieux, Peter Wiazowski, Andrei Molchynsky and Pierre-Olivier Tremblay.