MDA Space Prices C$600M Senior Note Offering to Fund Blue Canyon Acquisition
MDA has more than doubled off its 52-week low of $15.
Summary
MDA Space priced a C$600 million private placement of 6.50% senior unsecured notes due 2033, with proceeds earmarked for the US$620 million Blue Canyon Technologies acquisition announced in June. The notes were placed at par and rank equally with existing debt, including the C$250 million 7.00% notes due 2030. This follows the recent US$819 million equity raise and the C$920 million CLS acquisition offer, adding to a busy financing period. The offering locks in fixed-rate funding ahead of the BCT deal closing expected by year-end, with a mandatory redemption if the acquisition fails. The 6.50% coupon reflects market demand and credit appetite for MDA's growth strategy.
At the time of this announcement, MDA was trading at $30.88 on NYSE in the Technology sector, with a market capitalization of approximately $5B. The 52-week trading range was $15.00 to $49.37. This news item was assessed with neutral market sentiment and an importance score of 8 out of 10. Source: PR Newswire.