Royal Bank of Canada announces Institutional NVCC Preferred Share Issue

About this update from Royal Bank Of Canada

Royal Bank of Canada announces Institutional NVCC Preferred Share Issue /* Style Definitions */ span.prnews_span { font-size:8pt; font-family:"Arial"; color:black; } a.prnews_a { color:blue; } li.prnews_li { font-size:8pt; font-family:"Arial"; color:black; } p.prnews_p { font-size:0.62em; font-family:"Arial"; color:black; margin:0in; } .prntac{ TEXT-ALIGN: CENTER } Canada NewsWire /NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES / The base shelf prospectus is accessible, and the shelf prospectus supplement will be accessible within two business days, through SEDAR+. TORONTO , July 17, 2024 /CNW/ - Royal Bank of Canada (TSX: RY) and (NYSE: RY) today announced a domestic public offering of Non-Cumulative 5-Year Fixed Rate Reset First Preferred Shares, Series BW ("Preferred Shares Series BW"). Royal Bank of Canada will issue to certain institutional investors 600 thousand Preferred Shares Series BW priced at $1,000 per share to raise gross proceeds of $600 million . The Preferred Shares Series BW will yield 6.698 per cent annually, payable semi-annually, as and when declared by the Board of Directors of Royal Bank of Canada , for the initial period ending November 24, 2029 . Thereafter, the dividend rate will reset every five years at a rate equal to 3.40 per cent over the 5-year Government of Canada bond yield. Subject to regulatory approval, the bank may redeem the Preferred Shares Series BW in whole or in part at par, during the period from October 24, 2029 to and including November 24, 2029 and during the period from October 24 to and including November 24 every five years thereafter, on not less than 15 days and not more than 60 days' notice. RBC Capital Markets is acting as lead agent on the issue. The expected closing date is July 24, 2024 . We routinely undertake funding transactions to maintain strong capital ratios and a cost effective capital structure. Net proceeds from this transaction will be used for general banking purposes. The Preferred Shares Series BW will be offered by way of a prospectus supplement to the bank's short form base shelf prospectus dated April 26, 2024 , to be filed on or about July 19, 2024 with the securities commissions and other similar regulatory authorities in each of the provinces and territories of Canada . Access to the shelf prospectus supplement, the correspondin...

View stock analysis, news, and events for Royal Bank Of Canada