Brookfield Asset Management Completes $425M Debt Offering

Brookfield Asset Management Incorporated (BAM) completed its previously announced offering of $425-million aggregate principal amount of debt securities, including a $300-million aggregate principal amount of medium term notes with a March 2024 maturity and a yield of 5.045 per cent, and a $125-million aggregate principal amount of a re-opening of 5.95 per cent debentures with a June 2035 maturity.

The notes were offered through a syndicate of agents led by CIBC World Markets Inc., HSBC Securities (Canada) Inc., and TD Securities Inc., and included RBC Dominion Securities Inc., Scotia Capital Inc., BMO Nesbitt Burns Inc., and National Bank Financial Inc.

The original issuance of the debentures was completed in June 2005. The additional debentures have the same coupon of 5.95 per cent and the same terms and conditions as the original debentures, but were issued at a price of $96.079 plus accrued interest, with an effective yield of 6.282 per cent if held to maturity. The company says it intends to use the net proceeds of the issues to repay financial obligations.

BAM was represented by an in-house team led by A.J. Silber, and by Adam Armstrong, Jonathan Cescon, Leah Towell and David Forrester of Torys LLP.

The agents were represented by Lawrence Chernin, Bill Gorman, Geoff Cowper-Smith and Maureen Berry from Goodmans LLP.