Intact Financial Corporation has announced:
that it has closed its previously announced bought deal offering of 6,000,000 Class A Series 5 Preferred Shares (the “Series 5 Shares”) (the “Offering”) underwritten by a syndicate of underwriters (the “Underwriters”) led by CIBC Capital Markets together with BMO Capital Markets, National Bank Financial and TD Securities Inc., resulting in gross proceeds (including the proceeds resulting from the exercise of their option) to IFC of $150 million.
The net proceeds from the Offering are intended to be used by IFC to fund a portion of the purchase price for its previously announced acquisition (the “Acquisition”) of all of the issued and outstanding shares of OneBeacon Insurance Group, Ltd. (“OneBeacon”). The closing of the Acquisition is expected to occur in the fourth quarter of 2017 and is subject to approval by OneBeacon’s shareholders and receipt of required regulatory approvals. If the Acquisition is not completed, the net proceeds of this Offering will be used for general corporate purposes.
Each Series 5 Share entitles the holder thereof to receive quarterly non-cumulative preferential cash dividends, if, as and when declared by the Board of Directors, on the last day of March, June, September and December in each year at a rate equal to $0.325 per share. The initial dividend, if declared, will be payable on September 30, 2017 and will be $0.45945 per share.
The Series 5 Shares will commence trading today on the Toronto Stock Exchange under the symbol IFC.PR.E
IFC.PR.E is a Straight Perpetual, 5.20%, announced 2017-5-12. It will be tracked by HIMIPref™ and has been assigned to the DeemedRetractible subindex.
As this issue is not NVCC compliant, it will be analyzed as a DeemedRetractible. Note, however, that this carries more uncertainty than it does with most other insurers because Intact is a P&C insurer, not a life company.
The issue traded 601,313 shares today in a range of 24.90-00 before closing at 24.91-95. Vital statistics are:
| IFC.PR.E |
Deemed-Retractible |
YTW SCENARIO
Maturity Type : Hard Maturity
Maturity Date : 2025-01-31
Maturity Price : 25.00
Evaluated at bid price : 24.91
Bid-YTW : 5.29 % |
This entry was posted on Wednesday, May 24th, 2017 at 9:28 pm and is filed under Issue Comments. You can follow any responses to this entry through the RSS 2.0 feed.
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IFC.PR.E A Little Soft On Decent Volume
Intact Financial Corporation has announced:
IFC.PR.E is a Straight Perpetual, 5.20%, announced 2017-5-12. It will be tracked by HIMIPref™ and has been assigned to the DeemedRetractible subindex.
As this issue is not NVCC compliant, it will be analyzed as a DeemedRetractible. Note, however, that this carries more uncertainty than it does with most other insurers because Intact is a P&C insurer, not a life company.
The issue traded 601,313 shares today in a range of 24.90-00 before closing at 24.91-95. Vital statistics are:
Maturity Type : Hard Maturity
Maturity Date : 2025-01-31
Maturity Price : 25.00
Evaluated at bid price : 24.91
Bid-YTW : 5.29 %
This entry was posted on Wednesday, May 24th, 2017 at 9:28 pm and is filed under Issue Comments. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.