Canaccord Genuity Group Inc. has announced:
its intention to redeem all of its outstanding Cumulative 5-Year Rate Reset First Preferred Shares, Series A of the Company (the “Series A Preferred Shares”) on October 1, 2026 (“Redemption Date”) by payment in cash at a redemption price equal to $25.00 per share (“Redemption Price”), for an aggregate amount payable to holders of $113.5 million (less any tax required to be deducted or withheld).
Formal notice will be delivered to the sole registered holder of the Series A Preferred Shares in accordance with the terms of the Series A Preferred Shares contained in the Company’s articles. Non-registered holders of the Series A Preferred Shares should contact their broker or other intermediary for information regarding the redemption process for the Series A Preferred Shares in which they hold a beneficial interest. The Company’s transfer agent for the Series A Preferred Shares is Computershare Investor Services Inc. (“Computershare”). Questions regarding the redemption process may be directed to Computershare at 1-800-564-6253 or by email to corporateactions@computershare.com.
As previously announcedon August 6, 2026, the Company’s Board of Directors declared a quarterly dividend of $0.25175 per Series A Preferred Share payable on October 1, 2026 to shareholders of record as of September 18, 2026. This dividend will be paid in the usual manner and will be the final dividend paid on the Series A Preferred Shares.
After the Series A Preferred Shares are redeemed, holders of Series A Preferred Shares will not be entitled to exercise any rights as holders other than to receive the Redemption Price and the Series A Preferred Shares will be delisted from and no longer trade on the Toronto Stock Exchange.
CF.PR.A was issued as a 5.50%+321 FixedReset that commenced trading 2011-6-23 after being announced 2011-6-6. After notice of extension the rate reset to 3.885% in 2016, but there was no conversion to FloatingReset. The issue reset at 4.028% in 2021.
This redemption was unexpected – the issue was up $0.98 (close/close) today to close at 25.18 on volume of 378.90K (consolidated: 433.94K).
Thanks to Assiduous Reader hrseymour for bringing this to my attention!