Healthcare of Ontario Pension’s Arm to Borrow C$500 Million

HOOPP Realty Finance, the real estate financing arm of Healthcare of Ontario Pension Plan, is looking to raise as much as C$500 million ($356 million) in an inaugural bond offering, according to people familiar with the matter.

The bond will likely consist two portions, maturing in five and seven years respectively, the people said, asking not to be identified as they aren’t authorized to speak publicly. The five-year tranche is being discussed at 0.75 to 0.80 percentage point above government benchmarks, the people said. For the seven-year portion, pricing is being discussed at 0.90 to 0.95 percentage point above benchmarks.