Manulife Financial announces conversion rights for series 25 preferreds

By Wendy Van Sickle

Columbus, Ohio, April 25 – Manulife Financial Corp. announced that holders of its currently outstanding 10 million non-cumulative rate reset class 1 series 25 shares have conversion rights on June 19, according to a notice.

Holders have the option to convert all or part of their series 25 preferred shares on a one-for-one basis into non-cumulative floating rate class 1 series 26 shares of Manulife on that date.

The conversion right must be exercised before 5 p.m. ET on June 5.

The conversion right was triggered by the company’s announcement on April 25 that it does not intend to redeem any of the currently outstanding shares.

The applicable dividend rate for both series 25 and series 26 shares will be announced May 23.

The offer is subject to the following minimums: if determined after June 5 that there would be less than 1 million series 25 shares outstanding on June 19, then all series 25 shares will automatically be converted; and alternatively, if there would be less than 1 million series 26 shares outstanding on the same date, then no series 25 shares will be converted. Written notice will be provided to registered series 25 holders on or before June 12 regarding any shares affected by these minimums.

Conversion inquiries should be directed to Manulife’s registrar and transfer agent TSX Trust Co. at 800 783-9495.

Subject to certain conditions described in the prospectus, Manulife may redeem the series 25 preferred shares, in whole or in part, on June 19, 2028 and on June 19 every subsequent five years and may redeem the series 26 preferred shares, in whole or in part, after June 19.

Manulife is a Toronto-based financial services group.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.