South Bow Corp Extends Exchange Offers for Outstanding Notes
CALGARY, Alberta – In a strategic move, South Bow Corp. (TSX & NYSE: SOBO) has announced the extension of the expiration date for its exchange offers concerning certain outstanding notes. This decision is a response to the interest shown by stakeholders in both its Canadian and U.S. operations.
Details of the Canadian Exchange Offer
South Bow Canadian Infrastructure Holdings Ltd., a subsidiary of South Bow Corp., has informed its stakeholders about the prolongation of the expiration date for the Canadian Exchange Offer. In this offer, the holders of the 7.625% Fixed-to-Fixed Reset Rate Junior Subordinated Notes due 2055, known as the Initial Series 1 Notes, are being given a chance to exchange them for an equivalent amount of the new 7.625% notes due 2055, referred to as the New Series 1 Notes. Simultaneously, the holders of the 7.500% Fixed-to-Fixed Reset Rate Junior Subordinated Notes due 2055 can exchange their Initial Series 2 Notes for the New Series 2 Notes, offering a beneficial opportunity for investment adjustment.
New Expiration Date
The new expiration date for the Canadian Exchange Offer has been extended to 5:00 p.m. ET on Aug. 6, 2025. During this period, investors can also opt to withdraw their tenders of the Initial Canadian Notes. The company has confirmed that all other terms of the offer remain consistent with the initial announcements.
Understanding the U.S. Exchange Offer
Similarly, South Bow USA Infrastructure Holdings LLC has also updated the timeline for its U.S. Exchange Offer. This offer allows holders of various senior notes, including those maturing in 2027, 2029, 2034, and 2054, the opportunity to exchange their existing notes for new issues of matching amounts at defined rates.
U.S. Exchange Offer Extension
The expiration date for the U.S. Exchange Offer is now extended to 5:00 p.m. ET on Aug. 6, 2025. Alongside this extension, investors are encouraged to thoroughly review the relevant prospectus for important information about the terms of the exchange.
Securities Filings and Recommendations
South Bow has ensured that both the Canadian and U.S. Prospectuses comply with regulatory obligations by filing them with necessary authorities including the Alberta Securities Commission and the U.S. Securities and Exchange Commission. The company advises all holders of Initial Canadian and U.S. notes to review these documents carefully before making decisions regarding personal investments.
About South Bow Corp
South Bow operates an extensive network of crude oil pipelines extending over 4,900 kilometers, successfully connecting Alberta's oil supplies to key refining markets in the United States. This impressive infrastructure positions South Bow as a vital player in North America's energy landscape. Since becoming a standalone entity on October 1, 2024, South Bow has significantly enhanced its market presence and operational capabilities.
For further engagement with the company, stakeholders are encouraged to reach out through the provided contact information.
Frequently Asked Questions
What is the extension period for the exchange offers?
The extension period for both the Canadian and U.S. exchange offers is until 5:00 p.m. ET on Aug. 6, 2025.
Who is eligible to participate in these exchange offers?
Holders of South Bow's outstanding notes, including both Canadian and U.S. bondholders, are eligible to participate.
What types of notes are included in the exchange offers?
The offers include various series of Fixed-to-Fixed Reset Rate Junior Subordinated Notes and Senior Notes across different maturities.
Where can I find the prospectus for these exchange offers?
The prospectuses can be obtained from the Corporate Secretary of South Bow or are available under the company's SEDAR+ profiles.
How can I contact South Bow for more information?
For inquiries, you can reach the Investor Relations at investor.relations@southbow.com or the Media Relations at communications@southbow.com.
