Toronto-Dominion Bank prices $750M capital notes offering (NYSE:TD)

Toronto-Dominion Bank (NYSE:TD) priced a U.S. public offering of US$750M of 7.250% fixed rate reset limited recourse capital notes (LRCNs), series 4, the company said late Monday.
The LRCNs will bear an interest rate of 7.250% annually, payable quarterly, for the initial period ending on, but excluding, July 31, 2029. After that, the LRCNs’ interest rate will reset every five years at rate equal to the prevailing U.S. Treasury Rate plus 2.977%.
The notes will mature on July 31, 2084. The expected closing date of the offering is July 3, 2024.
Concurrently with the LRCN issue, Toronto-Dominion (TD) will issue 750,000 non-cumulative 7.250% fixed rate reset preferred shares, series 31, to be held by Computershare Trust Company of Canada as trustee for TD LRCN Limited Recourse Trust.
In case of non-payment of interest on or principal of the LRCNs when due, the recourse of each LRCN holder will be limited to that holder’s proportionate share of the Limited Recourse Trust’s assets, which consist of preferred shares, series 31, except in limited circumstances.