Canadian Banc completes overnight offering

Executive Summary

• Canadian Banc Corp. completed an overnight offering of Series A Preferred Shares (BK.PR.A), raising approximately $103.2 million in gross proceeds.
• The shares were priced at $10.32 per share, led by National Bank Financial Inc., with settlement expected on January 16, 2026.
• Net proceeds will be used to invest in a portfolio of six publicly traded Canadian banks, while the shares offer cumulative floating-rate monthly dividends and a redemption value of $10 per share.

Key Details

• Gross Proceeds: Approximately $103.2 million.
• Security Type: Preferred Shares (Series A, Ticker: BK.PR.A).
• Offering Price: $10.32 per preferred share.
• Lead Underwriter: National Bank Financial Inc.
• Closing Date: Expected on or about January 16, 2026.
• Closing Conditions: Subject to approval by the Toronto Stock Exchange and other standard closing conditions.
• Use of Proceeds: Investment in a portfolio consisting primarily of six publicly traded Canadian banks.
• Dividend Terms: Cumulative preferential floating rate monthly cash dividends.
  • Rate: Prevailing Canadian prime rate + 1.50%.
  • Minimum Annual Rate: 5.0%.
  • Maximum Annual Rate: 8.0%.
  • Basis: Based on original $10 issue price.
• Redemption/Termination:
  • Termination Date: December 1, 2028 (subject to further five-year extensions).
  • Redemption Price: Original $10 issue price per share.
• Regulatory Filings: A prospectus supplement to the short form base shelf prospectus (dated June 18, 2025) will be filed with securities commissions in all Canadian provinces.

Notable Quotes

• None provided in the text.