By Cristal Cody
Tupelo, Miss., May 9 – Great-West Lifeco Inc. announced on Tuesday that it priced an upsized C$200 million of non-cumulative first preferred shares (/A-/DBRS: Pfd-2) with a 5.15% annual dividend.
The company sold 8 million shares of the series T preferred stock at C$25.00 per share.
BMO Capital Markets Corp., CIBC World Markets Inc., Scotia Capital Inc. and TD Securities Inc. were the lead managers.
The deal was upsized from C$150 million, or 6 million shares, after the underwriters exercised their option to purchase an additional 2 million preferred shares.
Great-West Lifeco may redeem the preferreds on and after June 30, 2022 and before June 30, 2023 at C$26.00 per share; at C$25.75 per share if redeemed on or after June 30, 2023; at C$25.50 per share if redeemed on or after June 30, 2024 and before June 30, 2025; at C$25.25 per share if redeemed on or after June 30, 2025 and before June 30, 2026 and at C$25.00 per share if redeemed on or after June 30, 2026.
Proceeds from the deal will be used for general corporate purposes and to augment the company’s current liquidity position.
Great-West Lifeco is a Winnipeg, Man.-based insurance and financial services holding company.
| Issuer: | Great-West Lifeco Inc.
|
| Amount: | C$200 million, 8 million shares
|
| Maturity: | June 30, 2022
|
| Securities: | Non-cumulative first preferred shares
|
| Bookrunners: | BMO Capital Markets Corp., CIBC World Markets Inc., Scotia Capital Inc. and TD Securities Inc.
|
| Dividend: | 5.15%
|
| Price: | C$25.00 per share
|
| Call feature: | On and after June 30, 2022 and before June 30, 2023 at C$26.00 per share; at C$25.75 per share if redeemed on or after June 30, 2023; at C$25.50 per share if redeemed on or after June 30, 2024 and before June 30, 2025; at C$25.25 per share if redeemed on or after June 30, 2025 and before June 30, 2026 and at C$25.00 per share if redeemed on or after June 30, 2026
|
| Pricing date: | May 9
|
| Settlement date: | May 18
|
| Ratings: | S&P: A-
|
| DBRS: Pfd-2
|
| Distribution: | Canada
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
