Canadian Banc Corp. Announces Successful Overnight Offering of Preferred Shares

Executive Summary

• Canadian Banc Corp. completed the overnight marketing of a $10.45 per share preferred‑share offering, targeting gross proceeds of approximately $62.7 million.
• The shares carry a 6.2% yield, cumulative floating‑rate monthly cash dividends (prime + 1.50%, min 5.0%/max 8.0%), and are scheduled to mature on December 1, 2028 (with possible extensions).
• Net proceeds will be used to build a portfolio of six major Canadian banks, diversifying the company’s investment holdings.

Key Details

• Offering Size & Pricing: Approx. $62.7 M gross proceeds; price per Preferred Share = $10.45 (closing TSX price on Oct 1, 2025 was $10.50).
• Yield & Dividend Terms: 6.2% yield; monthly cash dividends at prime + 1.50%, capped between 5.0% and 8.0% per annum based on the original $10 issue price.
• Maturity / Redemption: Expected termination date Dec 1, 2028 (subject to up‑to‑five‑year extensions); redemption at the original $10 issue price.
• Lead Manager: National Bank Financial Inc. led the offering.
• Closing Conditions & Timeline: Offering expected to close on or about Oct 9, 2025, subject to TSX approval and other closing conditions; sales period has ended.
• Use of Proceeds: To invest in a portfolio primarily consisting of six publicly traded Canadian banks: Bank of Montreal, Canadian Imperial Bank of Commerce, Royal Bank of Canada, Bank of Nova Scotia, National Bank of Canada, Toronto‑Dominion Bank.
• Regulatory Documentation: Prospectus supplement to the short‑form base shelf prospectus (dated June 18, 2025) will be filed with securities commissions in all Canadian provinces; no sale or acceptance of offers may occur until filing is complete.

Notable Quotes

(No executive quotes were included in the release.)