Rogers (NYSE: RCI) completes MLSE buy with C$4.35 billion credit

Posted by Stanley Muller on Oct 23rd, 2026

What happened

Rogers Communications Inc. (NYSE: RCI) completed the MLSE minority interest acquisition on October 1 for C$4.35 billion. Rogers said the purchase was funded with four non-revolving credit facilities entered into in September 2026, with an aggregate limit of C$4.35 billion. The facilities were drawn in full on October 1.

Rogers said it received C$4.0 billion in net proceeds from the issuances. MLSE owns the Toronto Maple Leafs, Toronto Raptors, Toronto FC, Toronto Argonauts and Scotiabank Arena. The facilities mature in September 2027.

Key numbers

Metric	Latest	Change	Source
MLSE minority interest acquisition	C$4.35 billion		SEC 6-K
Available liquidity	C$8.3 billion	from C$5.9 billion, +C$2.4 billion	SEC 6-K
Free cash flow	C$1.37 billion	from C$0.83 billion, +C$0.54 billion	SEC 6-K
Revenue	C$5.44 billion	from C$5.35 billion, +C$0.10 billion	SEC 6-K
Finance costs	C$623 million	from C$252 million, +C$371 million	SEC 6-K

Why it matters

OptimistFi's case is that Rogers turns recurring wireless and cable cash flow into deleveraging and margin expansion. This filing is mixed because the company added full ownership of MLSE. It also used short-term credit and lifted finance costs to C$623 million from C$252 million.

Revenue rose 2% to C$5.44 billion. Adjusted EBITDA rose 1% to C$2.54 billion and free cash flow rose to C$1.37 billion from C$829 million. Wireless revenue rose 1% to C$2.69 billion, cable revenue was C$1.99 billion and media revenue rose 9% to C$821 million.

Cash provided by operating activities increased to C$1.66 billion. Available liquidity rose to C$8.3 billion from C$5.9 billion, and the debt leverage ratio was 3.7 versus 4.0 at December 31, 2025. OptimistFi's comparison is that the C$4.35 billion facility package was about 52% of the C$8.3 billion of available liquidity at September 30, 2026.

Net income fell to C$495 million from C$5.77 billion a year earlier. The prior period included a C$5 billion non-cash MLSE gain and a C$151 million debt-redemption gain. Capital expenditures fell 46% to C$524 million in the quarter, and capital intensity dropped to 9.6%.

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What's next

Rogers said it plans to use proceeds from the September 2026 note issuance to redeem C$2.0 billion of subordinated notes due 2081 on their first at-par redemption date in December 2026. The redemption would support the deleveraging case if completed as planned.

Rogers is also pursuing a sale of a minority interest in Rogers Sports to third-party investors by the first half of 2027. Rogers said it expects to use those proceeds to repay debt and further improve its balance sheet.

If that sale closes and debt falls, the filing would support the deleveraging case. If execution slips, the short-term financing remains the main read-through.

From OptimistFi Perps

Sources

SEC 6-K Exhibit 99.1 — Management's Discussion and Analysis for the three and nine months ended September 30, 2026.
SEC filing

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Originally published on OptimistFi, evidence-first equity research. More at optimistfi.com.