Power Corporation Announces Preferred Shares Offering
Power Corporation of Canada has made a significant move in the financial sector by agreeing to issue 6,000,000 Non-Cumulative First Preferred Shares, Series I (referred to as the "Series I Shares"). This decision marks a robust step for the Corporation with the intended issue generating gross proceeds of approximately $150 million.
Details of the Share Offering
The Series I Shares are set to be priced at $25.00 each, and they will yield an annual dividend of 5.65%. The anticipated closure for this issue is around November 20, and it will be underwritten by a syndicate led by prominent financial institutions.
Underwriters and Options
In addition to the initial offering, Power Corporation has granted underwriters an option to acquire up to an additional 2,000,000 Preferred Shares, potentially increasing the total gross proceeds to $200 million. This flexibility indicates a strong demand for the Series I Shares and reflects the overall confidence in the Corporation's financial health.
Utilization of Net Proceeds
The net proceeds from the offering will be strategically allocated for general corporate purposes. This allocation is vital for maintaining efficient operations and fueling future growth, demonstrating the Corporation's commitment to enhancing shareholder value and expanding its market presence.
Accessing the Prospectus
The Series I Shares will be available across all provinces and territories in Canada through a prospectus supplement. Interested parties can access comprehensive documents related to the offering on SEDAR+, ensuring they have all necessary information for informed investment decisions.
About Power Corporation
Power Corporation is a significant player in the financial services landscape, focusing on insurance, retirement, and wealth management across North America, Europe, and Asia. The Corporation has established itself through a diversified portfolio that includes various investment businesses and alternative asset platforms.
Contact Information
For those seeking additional information about this offering or the company, Stéphane Lemay, Vice-President and General Counsel, can be reached directly at 514-286-7400. He can provide insights into both the preferred share offering and the overall direction of Power Corporation.
Frequently Asked Questions
What are the details of the Series I Shares offering?
The Series I Shares are priced at $25.00 each, with an annual dividend yield of 5.65%, aiming to raise $150 million.
Who is underwriting the share offering?
The issuance is underwritten by a syndicate led by BMO Capital Markets, RBC Capital Markets, and Scotiabank.
What will the proceeds be used for?
The net proceeds are intended for general corporate purposes, ensuring continued operational effectiveness and potential growth initiatives.
Where can I find the offering documents?
The prospectus supplement and additional documents will be accessible on SEDAR+, providing essential information for investors.
How can I contact Power Corporation for further inquiries?
Stéphane Lemay, Vice-President, can be contacted at 514-286-7400 for any further questions regarding the offering.
