Great-West Lifeco Announces Preferred Shares Offering
Great-West Lifeco Inc. (TSX: GWO), a prominent financial services holding company, has made headlines with the announcement of its offering of Non-Cumulative First Preferred Shares, Series Z. This strategic move, unveiled recently, signals Lifeco's commitment to expanding its financial capacity and enhancing shareholder value.
Details of the Series Z Shares Offering
The Corporation has engaged a dedicated team of underwriters, led by BMO Capital Markets, RBC Capital Markets, and Scotiabank. Together, they have agreed to acquire a substantial 6,000,000 Series Z Shares at a competitive price of C$25.00 each. This offering is anticipated to generate substantial gross proceeds estimated at C$150 million. Investors can expect an impressive yield of 5.70% per annum, with payouts structured on a quarterly basis as declared by the Lifeco Board of Directors.
Underwriters' Additional Option
In a notable addition to this offering, Great-West Lifeco has provided underwriters with an option, available up to 48 hours before the close, to purchase an extra 2,000,000 Series Z Shares, potentially raising total gross proceeds to C$200 million if fully exercised. This option deepens the financial potential of the offering, demonstrating the confidence in Lifeco's growth trajectory.
Utilization of Proceeds
The net proceeds from this offering are intended for various corporate purposes, underscoring Lifeco’s strategy to bolster its operations and financial position. With the closing expected on or about September 24, 2025, this initiative is subject to customary closing conditions, illustrating the company's adherence to regulatory frameworks while pursuing growth opportunities.
Accessing the Offering Documents
Investors interested in learning more can gain access to the comprehensive offering documents through a prospectus supplement linked with Lifeco's existing short-form base shelf prospectus from December 5, 2023. The documents will become accessible on SEDAR+ within two business days of the announcement. These documents contain significant details that core to understanding both the Corporation and the Series Z Shares.
Your Path to Investment
Those wishing to obtain hard copies of the offering documents can easily request them at no charge from BMO Capital Markets. This includes all necessary amendments, ensuring that prospective investors have the information they need to make informed investment decisions.
About Great-West Lifeco Inc.
Great-West Lifeco is renowned for its focused approach to creating a financially secure future for its clients across various regions, including Canada and Europe. Operating under trusted brands like Canada Life, Empower, and Irish Life, the company serves over 40 million customers. With total client assets reaching a staggering $3 trillion as of mid-2025, Great-West Lifeco stands at the forefront of financial services.
Efficient Contact Points for Media and Investors
For further inquiries regarding this offering, Lifeco has designated contacts for both media and investor relations. Tim Oracheski represents the Media Relations, while Shubha Khan serves as the point of contact for Investor Relations. They can be easily reached via their respective phone numbers, or any inquiries can be sent through their official email channels also provided without any charge.
Frequently Asked Questions
What are Series Z Preferred Shares?
Series Z Preferred Shares are a type of equity security that offers dividends to investors and take precedence over common shares in the event of liquidation.
What is the yield on the Series Z Shares?
The Series Z Shares offer an attractive yield of 5.70% per annum, paid quarterly as declared by the Lifeco Board.
How much capital is Great-West Lifeco aiming to raise?
The initial offering is aimed to raise C$150 million, with an option to increase that to C$200 million if fully exercised.
What is the closing date for this offering?
The expected closing date for the offering is around September 24, 2025, subject to customary closing conditions.
Where can investors find more information about the offering?
Investors can access additional offering documents on SEDAR+, providing comprehensive details to support investment decisions.
