Keyera Announces Closing of $2.07 Billion Bought-Deal Offering of Subscription Receipts
CALGARY, AB, June 20, 2025 /CNW/ - Keyera Corp ("Keyera" or the "Company") (TSX: KEY) today announced that it has completed its previously announced offering (the "Offering") of subscription receipts ("Subscription Receipts"). Pursuant to the Offering, the Company issued 52,874,700 Subscription Receipts, including 6,896,700 Subscription Receipts issued pursuant to the exercise in full by the underwriters of their over-allotment option. The Subscription Receipts were issued at a price of $39.15 per Subscription Receipt, for total gross proceeds of approximately $2.07 billion.
Each Subscription Receipt will entitle the holder thereof, without payment of any additional consideration or further action on the part of the holder, to receive one common share of Keyera ("Common Share") upon closing of the Acquisition (as defined below). In addition, while the Subscription Receipts remain outstanding, holders will be entitled to receive cash payments ("Dividend Equivalent Payments") per Subscription Receipt that are equal to dividends declared by Keyera on each Common Share. Such Dividend Equivalent Payments will have the same record date and payment date as the related Common Share dividends.
The Subscription Receipts will begin trading on the Toronto Stock Exchange ("TSX") under the symbol "KEY.R" today.
The net proceeds from the Offering will be held in escrow and are expected to be used to finance a portion of the purchase price of Keyera's previously announced acquisition of substantially all of Plains' Canadian natural gas liquids business and select U.S. assets (the "Acquisition"). The Acquisition is expected to close in the first quarter of 2026, subject to the satisfaction or waiver of customary closing conditions, including clearance under the Competition Act (Canada) and other applicable regulatory reviews.
For further information regarding the Acquisition and the Subscription Receipts, including related risk factors, refer to the Company's prospectus supplement dated June 18, 2025 (the "Prospectus Supplement") to the base shelf prospectus of the Company dated December 12, 2023 (the "Base Shelf"). The Base Shelf and the Prospectus Supplement are accessible on SEDAR+ at www.sedarplus.ca.
The Subscription Receipts were offered through a syndicate of underwriters, led by RBC Capital Markets, together with CIBC Capital Markets, National Bank Financial Markets, Scotiabank and TD Securities as Joint Bookrunners.
This news release does not constitute an offer to sell or the solicitation of an offer to buy the Subscription Receipts. The Subscription Receipts have not been approved or disapproved by any regulatory authority.
About Keyera Corp.
Keyera Corp. (TSX: KEY) operates an integrated Canadian-based energy infrastructure business with extensive interconnected assets and a depth of expertise in delivering energy solutions. Its predominantly fee-for-service based business consists of natural gas gathering and processing; natural gas liquids processing, transportation, storage and marketing; iso-octane production and sales; and an industry-leading condensate system in the Edmonton/Fort Saskatchewan area of Alberta. Keyera strives to provide high quality, value-added services to its customers across North America and is committed to conducting its business ethically, safely and in an environmentally and financially responsible manner.
Additional Information
For more information about Keyera Corp., please visit our website at www.keyera.com or contact:
Investor Inquiries
Dan Cuthbertson, General Manager, Investor Relations
Katie Shea, Senior Advisor, Investor Relations
Email: [email protected]
Telephone: 1-403-205-7670
Toll free: 1-888-699-4853
Media Inquiries
Brandon Wood, Director, External Affairs
Email: [email protected]
Telephone: 1-855-797-0036
Forward-Looking Information
Certain statements contained herein constitute "forward-looking information" within the meaning of applicable securities laws (collectively, "forward-looking statements"). Such forward-looking statements are intended to provide readers with information regarding Keyera, including the expected use of the net proceeds of the Offering, the listing of the Subscription Receipts on the TSX, anticipated entitlements associated with the Subscription Receipts including anticipated Dividend Equivalent Payments, the expected closing date of the Acquisition, Keyera's efforts to provide high-quality services to customers and Keyera's commitment to conducting its business ethically, safely and in an environmentally-friendly and financially-responsible manner. The forward-looking statements contained herein may not be appropriate for other purposes. These forward-looking statements relate to future events or Keyera's future performance. Such statements are predictions only and actual events or results may differ materially. Forward-looking statements are typically identified by words such as "expect", "may", "will", "should", "intend", "deliver", "subject", "commit" and similar expressions, including the negatives thereof. All statements other than statements of historical fact contained in this document are forward-looking statements.
The forward-looking statements reflect management's current beliefs and assumptions with respect to such things as the completion of the Acquisition in a timely manner, including receipt of all necessary approvals, the success of Keyera's operations, general and industry economic trends remaining in line with management's current expectations, favorable commodity prices and market conditions, future operating costs and predictability in the governmental, regulatory, and legal environments in which Keyera operates. In some instances, forward-looking statements contained herein may be attributed to third-party sources. Management believes that its assumptions herein are reasonable and that the expectations reflected in the forward-looking statements contained herein are also reasonable based on the information available on the date such statements were made, and the process used to prepare the information. However, Keyera cannot assure readers that these expectations will prove to be correct.
All forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, events, levels of activity and achievements to differ materially from those anticipated in the forward-looking statements. For information about the risk factors that could cause actual results to differ materially from forward-looking statements, as well as other assumptions used to develop the forward looking statements, please refer to Keyera's filings made with Canadian provincial securities commissions, including Keyera's 2024 Year-End Report dated February 13, 2025 and in Keyera's Annual Information Form, dated March 5, 2025 which can be viewed on SEDAR+ at www.sedarplus.ca and on Keyera's website at www.Keyera.com.
Further information about the factors affecting forward-looking statements and management's assumptions and analysis thereof, is available in filings made by Keyera with Canadian provincial securities commissions, which can be viewed on SEDAR+ at www.sedarplus.ca.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Ottawa Citizen
31 minutes ago
- Ottawa Citizen
Canada Day tourism season looks strong as bookings climb in Ottawa
Article content 'There's so much to do for everyone's tastes in Ottawa,' he said. Article content Article content As the director of public affairs for Ottawa Tourism, Miousse knows that Canada Day typically brings in an influx of tourists from across the country. Leading up to this year's festivities, he says he's expecting 'a lot of traction.' Article content Article content 'It should be a very good one,' he said. 'We're looking forward to it. Especially with the current context, there's a lot of Canadian pride.' Article content Article content Canadian residents returned from 2.7 million trips to the United States in March — a 24 per cent decrease from the previous year, according to Statistics Canada. Flights to the U.S. were also down by 5.5 per cent. This decrease in travel comes amidst an ongoing U.S. tariff war. Article content It's unclear whether tourism numbers will exceed record years in 2019 and Canada's 150th birthday in 2017, Miousse says, but he's optimistic so far. Article content 'We're already seeing more hotel bookings than last year,' he said, adding that Ottawa has seen 10 million tourists in the last year alone, who have generated an estimated $2.6 billion for the local economy. Article content 'It's igniting a sense of your civic pride, right, to want to visit your capital city to celebrate the national day of your country.' Article content Article content Article content Miousse says 90 per cent of Ottawa's tourists are Canadian, accounting for a 'niche market' that Ottawa tends to attract. Along with a heightened sense of Canadian pride, he cited initiatives like the Canada Strong Pass as incentives that make this year's Canada Day special. Article content Article content 'We've all seen what's happened in the world and in Canada these past few months,' he said. 'It's all about making the most of these trends, and that's our advantage here in Ottawa.' Article content 'Obviously, Canada Day is an uptick to that.'
Winnipeg Free Press
36 minutes ago
- Winnipeg Free Press
WestJet cyberattack remains unresolved one week in, but operations unaffected
WestJet says a cyberattack that began last week remains unresolved, as questions linger about the nature and fallout of the breach. The country's second-largest airline says it is working to assess whether sensitive data or customers' personal information was compromised after hackers accessed its internal systems. An online advisory says the attack, which was detected late last week, has not affected operations but that some customers may run into 'intermittent interruptions or errors' on WestJet's website and app. Spokesman Josh Yeats says investigations in collaboration with law enforcement are ongoing, but the company has not specified the type of the incident, such as a malware or ransomware attack. The breach at the Alberta-based airline arrived just ahead of foreign leaders, who gathered last weekend for the G7 summit in Kananaskis, Alta., though no direct link to the event has been identified. Monday Mornings The latest local business news and a lookahead to the coming week. Airlines and airports have become increasingly popular prey for hackers, as their troves of personal and financial data and global reach make for tempting targets. This report by The Canadian Press was first published June 20, 2025.
Winnipeg Free Press
an hour ago
- Winnipeg Free Press
Strathcona defends unsolicited takeover offer for oilsands peer MEG Energy
CALGARY – Strathcona Resources Ltd. says MEG Energy Corp. has made errors and misleading statements in its justifications for rejecting its unsolicited takeover bid. Last month, Strathcona made a cash-and-stock offer to buy all of the MEG shares it does not already own, and MEG shares have consistently been trading higher than the implied offer price. Earlier this week, MEG urged shareholders to reject the bid, in part because it says combining with Strathcona would expose shareholders to inferior assets and capital market risk. Strathcona has published a new presentation taking aim at the 'Fact vs. Fiction' in MEG's director's circular outlining its rationale for opposing the offer. In the presentation, Strathcona says its oilsands assets are comparable to or sometimes better than MEG's. It adds that Waterous Energy Fund, led by Strathcona executive chairman Adam Waterous, has no intention of selling its stake in Strathcona post-takeover, which MEG contends is a risk. Monday Mornings The latest local business news and a lookahead to the coming week. This report by The Canadian Press was first published June 20, 2025. Companies in this story: (TSX: MEG) (TSX: SCR)
