Canadian Banc Corp. Concludes Successful Preferred Shares Offering
Canadian Banc Corp. Completes Preferred Shares Offering
Canadian Banc Corp. is excited to announce the successful completion of its overnight marketing for Preferred Shares (TSX: BK.PR.A), generating approximately $62.7 million in gross proceeds. This strategic move positions the Company favorably in the market.
Details of the Offering
The offering, steered by National Bank Financial Inc., reflects Canadian Banc Corp.'s robust standing within the financial sector. The sales period for this offering has come to a close, and the anticipated closing date is around October 9, 2025, hinging on specific closing conditions, including the approval from the TSX.
Investment Strategy and Objectives
Each Preferred Share is priced at $10.45, promising a yield of 6.2%. This offering aims to harness the funds to invest in a carefully selected portfolio of six publicly traded Canadian banks:
1. Bank of Montreal
2. Canadian Imperial Bank of Commerce
3. Royal Bank of Canada
4. The Bank of Nova Scotia
5. National Bank of Canada
6. The Toronto-Dominion Bank
With these investments, Canadian Banc Corp. strives to achieve its Preferred Share investment goals, which focus on offering holders cumulative preferential floating rate monthly cash dividends. These dividends will be pegged to the current Canadian prime rate plus 1.50%, ensuring a minimum annual return of 5.0% and a maximum of 8.0% based on the original issue price of $10.
Future Commitments
On or around the anticipated termination date of December 1, 2028, Canadian Banc Corp. intends to return the original issue price of $10 per share, subject to possible five-year extensions. This commitment underlines the Company’s dedication to its shareholders and sustainable investment strategies.
Regulatory Compliance and Transparency
A prospectus supplement will be filed with the relevant securities commissions in all Canadian provinces, providing essential details about the Preferred Shares and Class A Shares on offer. Interested investors are encouraged to consult with their registered financial advisors for the prospectus documents.
For further inquiries or detailed information, investors can reach Canadian Banc Corp.'s investor relations team at the following numbers:
1-877-478-2372
Local: 416-304-4443
Alternatively, you can visit www.canadianbanc.com or connect via email at info@quadravest.com.
Frequently Asked Questions
What was the total amount raised in the preferred shares offering?
The offering raised approximately $62.7 million in gross proceeds for Canadian Banc Corp.
Who led the offering for Canadian Banc Corp?
National Bank Financial Inc. served as the lead for this offering.
What is the anticipated closing date for the offering?
The offering is expected to close around October 9, 2025, pending TSX approval.
What are the investment objectives for the Preferred Shares?
The objectives include providing cumulative preferential floating rate monthly cash dividends and returning the original issue price upon termination.
How can I get more information about the offering?
For more information, you can contact Canadian Banc Corp.'s investor relations at 1-877-478-2372 or visit their website at www.canadianbanc.com.
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