PrefBlog

Canadian Utilities Limited has announced (on May 24):

that after having taken into account all election notices following the conversion deadline for the Cumulative Redeemable Second Preferred Shares Series Y (“Series Y Preferred Shares”) tendered for conversion into Cumulative Redeemable Second Preferred Shares Series Z (“Series Z Preferred Shares”), the holders of Series Y Preferred Shares are not entitled to convert their Series Y Preferred Shares into Series Z Preferred Shares. There were approximately 21,400 Series Y Preferred Shares tendered for conversion, which is less than the two million shares required to give effect to conversions into Series Z Preferred Shares.

The Series Y Preferred Shares will continue to pay on a quarterly basis, for the five-year period from and including June 1, 2022 to but excluding June 1, 2027, as and when declared by the Board of Directors of Canadian Utilities Limited, a fixed dividend based on an annual dividend rate of 5.20%

For more information on the terms of, and risks associated with an investment in, the Series Y Preferred Shares, please see Canadian Utilities Limited’s prospectus supplement dated September 15, 2011, which can be found under Canadian Utilities Limited’s profile on SEDAR at www.sedar.com.

CU.PR.C was issued as a FixedReset, 4.00%+240, that commenced trading 2011-9-21 after being announced 2011-9-13. It reset to 3.40% in 2017; I recommended against conversion; and there was no conversion. The issue reset to 5.20% in 2022.

This entry was posted on Wednesday, June 1st, 2022 at 8:56 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.