pcNewsWire – Laurentian Bank of Canada (TSX: LB) intends to close an offering of $350,000,000 principal amount of 4.25% Notes (Non-Viability Contingent Capital (NVCC)) due June 22, 2027
Laurentian Bank Securities is acting as lead agent for the offering.
Net proceeds from the Offering will be added to the Bank’s general funds and will be used for general banking purposes.
News Release
LAURENTIAN BANK OF CANADA ANNOUNCES OFFERING OF SUBORDINATED NOTES (NVCC)
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES
Montreal, June 15, 2017 – Laurentian Bank of Canada (TSX: LB) (“Laurentian” or the “Bank”) announced today an offering of $350,000,000 principal amount of 4.25% Notes (Non-Viability Contingent Capital (NVCC)) (subordinated indebtedness) due June 22, 2027 (the “Offering”) pursuant to a prospectus supplement to be dated on or around June 15, 2017 to the Bank’s short form base shelf prospectus dated December 20, 2016, which will be filed with Canadian securities regulatory authorities in all Canadian provinces.
The Notes will bear interest at a fixed rate of 4.25% per annum (paid semi-annually) until June 22, 2022, and, thereafter, at the three-month CDOR plus 2.73% per annum (paid quarterly) until maturity on June 22, 2027, unless redeemed by Laurentian.
The Bank may, at its option, with the prior approval of the Office of the Superintendent of Financial Institutions Canada, redeem the Notes on or after June 22, 2022, at par, in whole at any time or in part from time to time, on not less than 30 days and not more than 60 days notice to registered holders.
The issuance of the Notes is expected to close on June 22, 2017. Laurentian Bank Securities is acting as lead agent for the Offering.
Net proceeds from the Offering will be added to the Bank’s general funds and will be used for general banking purposes.
The securities offered have not been, and will not be, registered under the U.S. Securities Act of 1933 (the “U.S. Securities Act”), as amended, and may not be offered, sold or delivered, directly or indirectly, in the United States, its territories, its possessions and other areas subject to its jurisdiction or to, of for the account or benefit of, a U.S. person (as such term is defined in the U.S. Securities Act), absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.
About Laurentian Bank
Laurentian Bank of Canada is a financial institution whose activities extend across Canada. Founded in 1846, its mission is to help customers improve their financial health and it is guided by values of proximity, simplicity and honesty.
The Bank serves one and a half million clients throughout the country and employs more than 3,600 individuals, which makes it a major player in numerous market segments. The Bank caters to the needs of retail clients via its branch network based in Quebec. The Bank also stands out for its know-how among small and medium-sized enterprises and real estate developers owing to its specialized teams across Canada. Its subsidiary B2B Bank is, for its part, one of the major Canadian leaders in providing banking products and services and investment accounts through financial advisors and brokers. Laurentian Bank Securities offers integrated brokerage services to a clientele of institutional and retail investors.
The Bank has more than $45 billion in balance sheet assets and more than $32 billion in assets under administration.
Information:
Hélène Soulard Assistant Vice-President, Communications Executive Office Office: 514 284-4500, extension 8232 helene.soulard@laurentianbank.ca
