TC Energy (TRP) has successfully completed a $7.15 billion corporate bond offering, the largest in Canadian history.
Management says the bond offering was used to refinance its construction loan that helped pay the cost of building the Coastal GasLink pipeline.
Coastal GasLink is a 670-kilometre energy pipeline that was completed in late 2023 at a total cost of $14.40 billion. It is one of the biggest energy infrastructure projects ever in Canada.
TC Energy says the refinancing was completed through a bond offering that was oversubscribed by 3.6 times.
The Coastal GasLink project ran into numerous delays during its construction that led to cost overruns.
TC Energy has been under pressure from investors and credit rating agencies to reduce its debt now that the pipeline has been completed.
The stock of TC Energy is flat over the past 12 months (down 0.37%) at $53.25 per share. Through five years, the stock is down nearly 20%.
