Canadian Banc completes $103.2-million offering

Executive Summary

• Canadian Banc Corp. completed an overnight offering of preferred shares, raising $103.2 million in gross proceeds.
• The net proceeds will be deployed to invest in a portfolio of six publicly‑traded Canadian banks.
• Shares begin trading on the Toronto Stock Exchange under the existing symbol BK.PR A, with a cumulative floating‑rate dividend tied to the Canadian prime rate + 1.50% (minimum 5%, maximum 8%).

Key Details

• Offering Size: $103,200,000 gross proceeds; net proceeds amount not disclosed but intended for bank‑portfolio investment.
• Security Type: Preferred shares (Toronto Stock Exchange: BK.PR.A).
• Dividend Terms: Cumulative preferential floating‑rate monthly cash dividends at Canadian prime rate + 1.50% per annum, capped between 5.0% minimum and 8.0% maximum, based on the original $10 issue price.
• Maturity/Redemption: On or about December 1, 2028 (subject to five‑year extensions), holders will be paid the original $10 issue price per share.
• Lead Underwriter: National Bank Financial Inc.
• Use of Proceeds: Investment in a portfolio consisting primarily of six publicly traded Canadian banks (specific banks listed in attached table).
• Trading Commencement: Preferred shares to begin trading immediately under symbol BK.PR A on the Toronto Stock Exchange.

Notable Quotes

(No direct quotes provided in the release.)