/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES
OR DISSEMINATION IN THE UNITED
STATES./
BRAMPTON, ON, Dec. 9, 2024
/CNW/ - (TSX: L) – Loblaw Companies Limited ("Loblaw" or the
"Company") announced today that it has agreed to issue, on a
private placement basis to qualified accredited investors in the
Provinces of Canada, $400 million aggregate principal amount of senior
unsecured notes of the Company (the "Notes") that will bear
interest at a rate of 3.564% per annum and will mature
on December 12, 2029
(the "Offering").
The Notes will be sold at par and are being offered on an agency
basis by a syndicate of agents led by RBC Capital Markets, BMO
Capital Markets, TD Securities, CIBC Capital Markets and Scotia
Capital. Subject to customary closing conditions, the Offering is
expected to close on December 12,
2024.
The net proceeds of the Offering will be used by the Company to
redeem all of its issued and outstanding Second Preferred Shares,
Series B (the "Preferred Share Redemption") and for general
corporate purposes. For details regarding the Preferred Share
Redemption, please see the Company's press release dated
December 9, 2024.
It is a condition of closing of the Offering that the Notes be
rated at least "BBB (high)" with a "Stable" trend by Morningstar
DBRS and at least "BBB+" by Standard and Poor's Rating Services.
The Notes will be unsecured obligations of the Company and will
rank equally with all existing and future unsecured and
unsubordinated indebtedness of the Company.
The Notes have not been registered under the U.S. Securities Act
of 1933, as amended, and may not be offered or sold in the United States absent registration or an
applicable exemption from the registration requirements. This press
release shall not constitute an offer to sell or the solicitation
of an offer to buy nor shall there be any sale of the Notes in any
jurisdiction where such offer, solicitation or sale would be
unlawful.
About Loblaw Companies Limited
Loblaw is Canada's food and
pharmacy leader, and the nation's largest retailer. Loblaw provides
Canadians with grocery, pharmacy, health and beauty, apparel,
general merchandise, financial services and wireless mobile
products and services. With more than 2,500 corporate franchised
and Associate-owned locations, Loblaw, its franchisees and
Associate-owners employ more than 220,000 full- and part-time
employees, making it one of Canada's largest private sector employers.
Loblaw's purpose — Live Life Well® — puts first the
needs and well-being of Canadians who make one billion transactions
annually in the company's stores. Loblaw is positioned to meet and
exceed those needs in many ways: convenient locations; more than
1,100 grocery stores that span the value spectrum from discount to
specialty; full-service pharmacies at nearly 1,400 Shoppers Drug
Mart® and Pharmaprix® locations and close to
500 Loblaw locations; PC Financial® services;
Joe Fresh® fashion and
family apparel; and four of Canada's top-consumer brands in Life
Brand®, Farmer's MarketTM, no
name® and President's Choice®. For more
information, visit Loblaw's website at www.loblaw.ca and Loblaw's
issuer profile at www.sedarplus.ca.
Forward-Looking Statements
This press release may contain forward-looking information
within the meaning of applicable securities legislation, which
reflects Loblaw's current expectations regarding future events,
including the Preferred Share Redemption, the expected closing of
the Offering and the use of proceeds of the Offering.
Forward-looking information is based on a number of assumptions and
is subject to a number of risks and uncertainties, many of which
are beyond Loblaw's control that could cause actual results and
events to differ materially from those that are disclosed in or
implied by such forward-looking information. Such risks and
uncertainties include, but are not limited to, the factors
discussed in Loblaw's 2024 Third Quarter Report to Shareholders and
current Annual Information Form. Loblaw does not undertake any
obligation to update such forward-looking information, whether as a
result of new information, future events or otherwise, except as
expressly required by applicable law. All forward-looking
statements contained in this press release are made as of the date
hereof and are qualified by these cautionary statements.
SOURCE Loblaw Companies Limited