Manulife Financial Corp. has announced:
that it has completed its offering of 8 million Non-cumulative Rate Reset Class 1 Shares Series 13 (the “Series 13 Preferred Shares”) at a price of $25 per share to raise gross proceeds of $200 million.
The offering was underwritten by a syndicate of investment dealers co-led by Scotia Capital Inc. and RBC Capital Markets. The Series 13 Preferred Shares commence trading on the Toronto Stock Exchange today under the ticker symbol MFC.PR.K.
The Series 13 Preferred Shares were issued under a prospectus supplement dated June 17, 2013 to Manulife’s short form base shelf prospectus dated July 18, 2012.
MFC.PR.K is a FixedReset, 3.80%+222, announced June 17. All told, the FixedReset subindex has lost 96bp since Monday’s close, so the issue has modestly underperformed, but nothing worth despairing over.
The issue traded 235,745 shares today in a range of 24.50-70 before closing at 24.55-64, 131×10.
MFC.PR.K will be tracked by HIMIPref™ and assigned to the FixedReset subindex. Since it is an insurance holding company issue without a NVCC clause, a Deemed Maturity at par as of 2025-1-31 has been added to the redemption schedule as is my normal practice. Vital statistics are:
Maturity Type : Hard Maturity
Maturity Date : 2025-01-31
Maturity Price : 25.00
Evaluated at bid price : 24.55
Bid-YTW : 4.10 %