Canada advised Royal Bank of Canada on a C$1.5bn offering of non-viability contingent capital subordinated notes (the notes) through its Canadian medium term notes program.

The offering constitutes Royal Bank of Canada’s first offering of subordinated notes as a “well-known seasoned issuer” in reliance on the blanket orders listed in CSA Staff Notice 44-306, and of subordinated notes tied to CORRA during a floating interest period.

The notes bear interest at a fixed rate of 5.01 percent per annum (paid semi-annually) until February 1, 2028. Thereafter, the notes will bear interest at a floating rate tied to CORRA plus 2.12 percent (paid quarterly) until February 1, 2033, the maturity date of the notes.

RBC Dominion Securities Inc. acted as the lead dealer for the offering, with a syndicate that included CIBC World Markets, Inc., Scotia Capital Inc., TD Securities Inc., Merrill Lynch Canada Inc., Desjardins Securities Inc., Laurentian Bank Securities Inc., BMO Nesbitt Burns Inc., National Bank Financial Inc., HSBC Securities (Canada) Inc., iA Private Wealth Inc., Manulife Securities Incorporated, and Wells Fargo Securities Canada, Ltd.

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