Royal Bank of Canada has announced:
its intention to redeem all of its issued and outstanding Non-Viability Contingent Capital (NVCC) Non-Cumulative 5-Year Rate Reset First Preferred Shares, Series BD (Series BD shares) (TSX: RY.PR.J) on May 24, 2025, for cash at a redemption price of $25.00 per share to be paid on May 26, 2025.
There are 24,000,000 Series BD shares outstanding, representing $600 million of capital. The redemptions will be financed out of the general corporate funds of Royal Bank of Canada.
The final quarterly dividend of $0.20 for each of the Series BD shares will be paid separately from the redemption price for each of the Series BD Shares and in the usual manner on May 23, 2025 to shareholders of record at the close of business on April 24, 2025. After such dividend payments, the holders of Series BD shares will cease to be entitled to dividends.
RY.PR.J is a FixedReset, 3.60%+274, NVCC-compliant, that commenced trading 2015-1-30 after being announced 2015-1-26. It reset to 3.20% effective 2020-5-24 and there was no conversion. The issue is tracked by HIMIPref™ and is assigned to the FixedReset (Discount) subindex.