Prologis L.P. to issue C$700 million in 3.600% notes due 2032

Prologis, L.P., an operating partnership of Prologis, Inc. (NYSE:PLD), a prominent player in the Industrial REITs industry with a market capitalization of $117.4 billion, has priced an offering of C$700 million aggregate principal amount of 3.600% notes due 2032. The announcement was made Monday in a statement filed with the Securities and Exchange Commission. According to InvestingPro data, the company maintains a GOOD financial health score, though it’s currently trading near its 52-week high.

According to the filing, the notes are expected to close on Monday. The offering was priced on October 20, 2025, with Scotia Capital Inc. and TD Securities Inc. acting as underwriters. The net proceeds to Prologis, L.P. from the sale of the notes, after deducting the underwriters’ discount and estimated offering expenses, are expected to be approximately C$693.6 million.

The notes will bear interest at a rate of 3.600% per year and will mature on February 15, 2032. They are senior unsecured obligations of Prologis, L.P. The company stated that it intends to use the net proceeds for general corporate purposes, which may include repayment of borrowings under its global lines of credit, a Canadian dollar secured mortgage loan, and possibly other debt.

The notes may be redeemed in whole or in part at any time prior to December 15, 2031, at a redemption price equal to the greater of 100% of the principal amount or the present value of remaining scheduled payments of interest and principal, discounted at the Government of Canada Yield Rate plus 21.5 basis points. On or after December 15, 2031, the notes may be redeemed at 100% of the principal amount, in each case plus accrued and unpaid interest to the redemption date.

The indenture governing the notes includes restrictions on the ability of Prologis, L.P. and its subsidiaries to incur additional indebtedness, merge, consolidate, or dispose of substantially all assets. Despite these debt considerations, InvestingPro research shows the company has maintained dividend payments for 15 consecutive years with a current dividend yield of 3.26%. For detailed analysis of Prologis’s financial position and future prospects, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

The offering is being made under an effective shelf registration statement previously filed with the SEC. This article is based on a statement filed with the Securities and Exchange Commission.

In other recent news, Prologis has reported strong third-quarter 2025 results, which have exceeded various analysts’ expectations. The company demonstrated robust leasing activity, with UBS noting a 32% year-over-year increase and approximately 20 million square feet of new leasing in both the first and third quarters of 2025. Following these positive earnings results, Truist Securities raised its price target for Prologis to $131.00, while Freedom Capital Markets increased its target to $134.00.

Furthermore, BMO Capital upgraded Prologis from Underperform to Market Perform, citing the company’s strategic shift in its data center business. UBS reiterated a Buy rating with a $137.00 price target, indicating optimism due to an inflection point in the industrial warehouse market. KeyBanc Capital Markets maintained a Sector Weight rating, highlighting early signs of recovery in the industrial real estate market. These developments reflect a positive outlook for Prologis, as the company continues to adjust its strategies and capitalize on market trends.

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