SLF.PR.I To Be Redeemed

Sun Life Financial Inc. has announced:

its intention to redeem its $300 million principal amount of issued and outstanding Class A Non-Cumulative Rate Reset Preferred Shares Series 12R (the “Series 12R Shares”) on December 31, 2021 (the “Redemption Date”).

The Series 12R Shares will be redeemed at Sun Life Financial Inc.’s option on the Redemption Date at a redemption price of $25.00 per share, together with all declared and unpaid dividends on such share to but excluding the Redemption Date. Notice will be delivered to the holders of the Series 12R Shares in accordance with the terms governing the Series 12R Shares.

Separately from the payment of the redemption price, the final quarterly dividend of $0.237875 per share for the Series 12R Shares will be paid in the usual manner on December 31, 2021, to shareholders of record on November 24, 2021.

SLF.PR.I was issued a FixedReset 4.25%+273, that commenced trading 2011-11-10 after being announced 2011-11-3. Notice of extension was given in 2016 and the issue reset to 3.806%. I recommended against conversion and there was no conversion.

Thanks to Assiduous Reader CanSiamCyp for bringing this to my attention!

2 Responses to “SLF.PR.I To Be Redeemed”

  1. malcolmm says:

    Darn, that’s another of my prefs that is being redeemed.

    Given that the redemption date is Dec 31st, does this mean that the capital gain/loss should be declared in 2021 or 2022? The last trading date is Dec 29th but I don’t know if this also applies to preferred shares or just common stock – does anyone know?

  2. CanSiamCyp says:

    Redemption on 31 Dec 2021 ….. capital gain/loss accrues in 2021!

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