An anonymous director reports

FINANCIAL 15 SPLIT CORP. II ANNOUNCES SUCCESSFUL OVERNIGHT OFFERING

Financial 15 Split Corp. II has completed the overnight marketing of up to 1.7 million preferred shares and up to 1.7 million Class A shares. Total proceeds of the offering are expected to be approximately $30.6-million. The company has granted the dealers an overallotment of 255,000 units, which if exercised, will bring the total proceeds to $35.2-million.

The offering is being co-led by National Bank Financial Inc., CIBC, RBC Capital Markets, and will also include BMO Capital Markets, GMP Securities LP, Canaccord Genuity Corp. and Raymond James.

The sales period of the overnight offering has now ended.

The preferred shares will be offered at a price of $10 per preferred share to yield 5.25 per cent on the issue price and the Class A shares will be offered at a price of $8 per Class A share to yield 15 per cent on the issue price. The closing price on the Toronto Stock Exchange of each of the preferred shares and Class A shares on July 22, 2014, was $10.18 and $8.46, respectively.

The net proceeds of the secondary offering will be used by the company to invest in a high-quality portfolio consisting of 15 financial services companies made up of Canadian and United States issuers as follows:

• Bank of Montreal;
• National Bank of Canada;
• Bank of America Corp.;
• Bank of Nova Scotia;
• Manulife Financial Corp.;
• Citigroup Inc.;
• Canadian Imperial Bank of Commerce;
• Sun Life Financial Services of Canada Inc.;
• Goldman Sachs Group Inc.;
• Royal Bank of Canada;
• Great-West Lifeco Inc.;
• JP Morgan Chase & Co.;
• Toronto-Dominion Bank;
• CI Financial Corp.;
• Wells Fargo & Co.

The company's investment objectives

Preferred shares:

• To provide holders of preferred shares with cumulative preferential monthly cash dividends currently in the amount of 5.25 per cent annually, to be set by the board of directors annually subject to a minimum of 5.25 per cent until 2019;
• On or about the termination date of Dec. 1, 2019 (subject to further five-year extensions thereafter), to pay the holders of the preferred shares $10 per preferred share.

Class A shares:

• To provide holders of the Class A shares with regular monthly cash distributions in an amount to be determined by the board of directors;
• To permit holders to participate in all growth in the net asset value of the company above $10 per unit, by paying holders on or about the termination date of Dec. 1, 2019 (subject to further five-year extensions thereafter) such amounts as remain in the company after paying $10 per preferred share.

The company will today file an amended and restated preliminary short-form prospectus, containing important information relating to the Class A shares and the preferred shares, with securities commissions or similar authorities in all provinces of Canada. The amended and restated preliminary short-form prospectus is still subject to completion or amendment. Copies of the amended and restated preliminary short-form prospectus may be obtained from your registered financial adviser using the contact information for such adviser, or from representatives of the underwriters listed above. Investors should read the prospectus before making an investment decision. There will not be any sale or any acceptance of an offer to buy the securities until a receipt for the final prospectus has been issued.