National Bank Issues 750M NVCC Preferred Shares

Canada-based National Bank of Canada announced an institutional NVCC preferred shares offering. The bank has entered into an agreement with a group of agents led by National Bank Financial Inc. for the issuance of 750,000 Non-Cumulative 5-Year Fixed Rate Reset First Preferred Shares, Series 52 (NVCC).

The Series 52 Preferred Shares will be issued to certain institutional investors at a price of $1,000 per share, raising gross proceeds of $750 million. The shares will pay fixed dividends at an annual rate of 6.57%, payable semi-annually.

National Bank may redeem the Series 52 Preferred Shares starting from October 16, 2031, and every five years thereafter, with prior written approval from the Superintendent of Financial Institutions (Canada). The net proceeds will be added to National Bank's general funds for general banking purposes.