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On June 17, 2025, Keyera Corp. announced it has entered into an agreement with a syndicate of underwriters to raise approximately $1.8 billion through a bought-deal offering of 45,978,000 subscription receipts at $39.15 each. An over-allotment option allows for the purchase of up to an additional 6,896,700 subscription receipts under the same terms.
The offering will finance a portion of Keyera's acquisition of substantially all of Plains' Canadian natural gas liquids business and select U.S. assets, as outlined in a separate share purchase agreement. Upon closing of the acquisition, each subscription receipt will automatically convert into one common share of Keyera. While outstanding, holders will also receive Dividend Equivalent Payments equivalent to dividends on Keyera’s common shares.
The gross proceeds (less half of the underwriters' fee) will be held in escrow by Odyssey Trust Company, with release contingent upon the conditions of the acquisition being materially satisfied. If the acquisition does not close by June 30, 2026, or is terminated, the full offering price per receipt (and potentially additional amounts) will be returned to investors.
The offering is expected to close on or about June 20, 2025, and is subject to regulatory approvals including the Toronto Stock Exchange.
Parties
Company
Keyera Corp.
Bank
RBC Capital Markets
Bank
CIBC Capital Markets
Bank
TD Securities Inc.
Deal Type
Public/Private OfferingIndustry
EnergyTransaction
$ 2,070,000,000Deal Status
ClosedClosing Date
20 June 2025