Canadian Pacific Railway Prices $1.2 Billion Senior Notes Offering
Summary
Canadian Pacific Railway Company, guaranteed by Canadian Pacific Kansas City Limited, priced a two-part debt offering totaling $1.2 billion with maturities in 2029 and 2056.
Key Events
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Debt Offering Priced
Canadian Pacific Railway Company priced a two-tranche offering of senior notes totaling $1.2 billion, guaranteed by Canadian Pacific Kansas City Limited.
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Notes Details
The offering includes $600 million of 4.000% notes due 2029 and $600 million of 5.500% notes due 2056, with settlement expected on March 6, 2026.
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Strong Credit Ratings
The notes are expected to carry investment-grade ratings of BBB+ (positive outlook) from S&P and Baa1 (stable outlook) from Moody's.
Analysis
This FWP details the final pricing and terms for Canadian Pacific Railway Company's $1.2 billion senior notes offering. The issuance, guaranteed by parent company Canadian Pacific Kansas City Limited, consists of $600 million in 4.000% notes due 2029 and $600 million in 5.500% notes due 2056. This significant capital raise provides the company with additional liquidity, potentially for general corporate purposes, capital expenditures, or refinancing existing debt, aligning with its strong financial position reported in the recent 10-K.
At the time of this filing, CP was trading at $86.81 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $78B. The 52-week trading range was $66.49 to $89.42. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.