Life & Banc Split Corp. Completes Preferred Share Offering

• Life & Banc Split Corp. completed a treasury offering of preferred shares on April 30, 2026.
• Gross proceeds raised were approximately $76.4 million at an offer price of $10.50 per share.
• The preferred shares provide an annualized yield of 6.9% with quarterly distributions of $0.18125 per share.
• Redemption date is set for October 30, 2028, returning the original issue price to holders.
• The offering was led by a syndicate including RBC Capital Markets and CIBC Capital Markets.
• This follows an announcement on April 22, 2026, and a successful closing confirmation on April 23, 2026.
• The fund maintains an equally weighted portfolio of six major Canadian banks and four life insurance companies.

• The completion of the $76.4 million preferred share offering is expected financing based on prior announcements (April 22) and the ATM program renewal (January 13, 2026).
• Capital raise increases the asset base available for investment in Canadian financials, potentially supporting NAV growth.
• The fixed dividend obligation of 6.9% creates a hurdle rate; portfolio returns must exceed this plus costs to benefit common shareholders.
• Stock price has appreciated significantly from $6.77 (April 2025) to $12.08 (April 2026), suggesting the market may have priced in the capital raise and underlying asset appreciation.
• The offering price ($10.50) is below the current common share trading price ($12.08), indicating a premium for common equity but potential dilution if NAV does not grow proportionally to cover preferred dividends.

• Entity Type: Split Corp (Closed-End Fund structure).
• Investment Objective: Invest in an approximately equally weighted portfolio of Canadian banks and life insurance companies.
• Portfolio Composition: Six major Canadian banks (BMO, National Bank, CIBC, RBC, Scotiabank, TD) and four life insurers (Great-West Lifeco, iA Financial, Sun Life, Manulife).
• Class A Shares: Target monthly cash distribution of $0.10 per share with growth potential in NAV.
• Preferred Shares: Fixed cumulative quarterly distributions with redemption at original issue price.