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Intact Financial Corporation Announces $300 million Limited Recourse Capital Notes Offering
Intact Financial Corporation Announces $300 million Limited Recourse Capital Notes Offering ...
About this update from Intact Financial Corporation
[{"type":"text","content":"\n \n \n \n Intact Financial Corporation Announces $300 million Limited Recourse Capital Notes Offering\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n /NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN\n \n THE UNITED STATES\n \n /\n \n \n \n \n TORONTO\n \n \n ,\n \n \n Feb. 28, 2023\n \n \n /CNW/ - Intact Financial Corporation (TSX: IFC) (\"Intact\" or the \"Company\") announced today that it intends to issue\n \n $300 million\n \n principal amount of 7.338% Limited Recourse Capital Notes Series 1 (Subordinated Indebtedness), due\n \n June 30, 2083\n \n (the \"Notes\"). The Notes will be direct unsecured obligations of Intact and will be subordinated to all senior indebtedness of Intact and effectively subordinated to all indebtedness and obligations of Intact's subsidiaries.\n \n \n The Notes will bear interest at a fixed annual rate of 7.338% until\n \n June 30, 2028\n \n and the interest rate will reset on that date and on every fifth anniversary of such date until the maturity date at a fixed interest rate per annum equal to the Government of Canada Yield on the business day prior to such interest reset day plus 3.95%. In connection with the issuance of the Notes, Intact will issue 300,000 Non-Cumulative Rate Reset Class A Shares, Series 12 (the \"Series 12 Preferred Shares\") to be held by Computershare Trust Company of\n \n Canada\n \n , as trustee of a newly formed trust (the \"Limited Recourse Trust\"). In case of non-payment of interest on or the principal or redemption price of the Notes when due, the recourse of each holder of Notes will be limited to that holder's proportionate share of the Limited Recourse Trust's assets, which will consist of Series 12 Preferred Shares except in limited circumstances.\n \n \n The Notes are being offered by way of private placement to accredited investors that are not individuals in each of the provinces and territories of\n \n Canada\n \n (the \"Private Placement\"). The net proceeds from the Private Placement are expecte...