TSX:SOBOOil and Gas
How Investors May Respond To South Bow (TSX:SOBO) Spotlighting Debt Reduction To Support Its 7.2% Yield
Recently, South Bow highlighted that its 7.2% dividend is backed by a distributable cash flow payout ratio of roughly 63–78% and an accelerated plan to reduce net debt-to-EBITDA to around 4x by 2027 to help preserve its investment-grade credit rating.
An interesting angle for investors is how upcoming milestones, including the Blackrod Project’s targeted completion in early 2026 and expected Western Canada pipeline constraints by 2027, could reinforce the resilience of South Bow’s high-yield...