An anonymous director reports
MANULIFE FINANCIAL CORPORATION ANNOUNCES DIVIDEND RATES ON NON-CUMULATIVE RATE RESET CLASS 1 SHARES SERIES 17 AND NON-CUMULATIVE FLOATING RATE CLASS 1 SHARES SERIES 18
Manulife Financial Corp. has set applicable dividend rates for its non-cumulative rate reset Class 1 shares, Series 17, and non-cumulative floating rate Class 1 shares, Series 18.
With respect to any Series 17 preferred shares that remain outstanding after Dec. 19, 2019, holders thereof will be entitled to receive fixed-rate non-cumulative preferential cash dividends on a quarterly basis, as and when declared by the board of directors of Manulife and subject to the provisions of the Insurance Companies Act (Canada). The dividend rate for the five-year period commencing on Dec. 20, 2019, and ending on Dec. 19, 2024, will be 3.8000 per cent per annum, or 23.750 cents per share per quarter, being equal to the sum of the five-year government of Canada bond yield as at Nov. 20, 2019, plus 2.36 per cent, as determined in accordance with the terms of the Series 17 preferred shares.
With respect to any Series 18 preferred shares that may be issued on Dec. 19, 2019, in connection with the conversion of the Series 17 preferred shares into the Series 18 preferred shares, holders thereof will be entitled to receive floating-rate non-cumulative preferential cash dividends on a quarterly basis, calculated on the basis of actual number of days elapsed in each quarterly floating-rate period divided by 365, as and when declared by the board of directors of Manulife and subject to the provisions of the Insurance Companies Act (Canada). The dividend rate for the three-month period commencing on Dec. 20, 2019, and ending on March 19, 2020, will be 1.00250 per cent (4.0210 per cent on an annualized basis), or 25.0625 cents per share, being equal to the sum of the three-month government of Canada treasury bill yield as at Nov. 20, 2019, plus 2.36 per cent, as determined in accordance with the terms of the Series 18 preferred shares.
Beneficial owners of Series 17 preferred shares who wish to exercise their right of conversion should instruct their broker or other nominee to exercise such right before 5 p.m. Toronto time on Dec. 4, 2019. The news release announcing such conversion right was issued on Nov. 8, 2019, and can be viewed on SEDAR or Manulife's website. Conversion inquiries should be directed to Manulife's registrar and transfer agent, AST Trust Company (Canada), at 1-800-783-9495.
The Toronto Stock Exchange has conditionally approved the listing of the Series 18 preferred shares effective upon conversion. Listing of the Series 18 preferred shares is subject to Manulife fulfilling all the listing requirements of the TSX and, upon approval, the Series 18 preferred shares will be listed on the TSX under the trading symbol MFC.PR.S.
About Manulife Financial Corp.
Manulife Financial is a leading international financial services group that helps people make their decisions easier and lives better. With its global headquarters in Toronto, the company operates as Manulife across its offices in Canada, Asia and Europe and primarily as John Hancock in the United States.
© 2020 Canjex Publishing Ltd. All rights reserved.