TSX/NYSE/PSE: MFC SEHK:945
C$ unless otherwise stated
TORONTO, Nov. 26, 2014 /PRNewswire/ - The Manufacturers
Life Insurance Company ("MLI"), the Canadian insurance company
subsidiary of Manulife Financial Corporation, announced today that
it intends to issue $500 million
principal amount of 2.64% fixed/floating subordinated debentures
due January 15, 2025 (the
"Debentures"). MLI intends to file a prospectus supplement to its
December 13, 2013 base shelf
prospectus in respect of this issue.
The Debentures will bear interest at a fixed rate of 2.64% until
January 15, 2020 and thereafter at a
rate of 0.73% over the three month CDOR. The Debentures mature on
January 15, 2025.
Subject to prior regulatory approval, MLI may redeem the
Debentures, in whole or in part, on or after January 15, 2020 at a redemption price equal to
par, together with accrued and unpaid interest to the date fixed
for redemption. The Debentures will constitute subordinated
indebtedness, ranking equally and rateably with all other
subordinated indebtedness of MLI from time to time issued and
outstanding.
The Debentures will be fully and unconditionally guaranteed on a
subordinated basis by Manulife Financial Corporation, as to payment
of principal, premium, if any, interest and redemption price, if
any.
The offering is being done on a best efforts agency basis by a
syndicate co-led by RBC Capital Markets, BMO Capital Markets and TD
Securities and consisting of CIBC World Markets, Scotiabank Global
Banking and Markets, Bank of America Merrill Lynch, National Bank
Financial, HSBC Securities, Desjardins Securities, Canaccord
Capital, Laurentian Bank Securities and Manulife Securities
Incorporated. The offering is expected to close on December 1, 2014.
MLI intends to use the net proceeds from the offering for
general corporate purposes, including future refinancing
requirements.
Our financing activities take into account future refinancing
needs. We have over $2 billion in
potential refinancing requirements over the next 12 months. We have
taken the opportunity to issue subordinated debt in favourable
markets," said Senior Executive Vice President and Chief
Financial Officer Steve
Roder.
The Debentures have not been and will not be registered in
the United States under the United
States Securities Act of 1933, as amended (the "Securities Act"),
or the securities laws of any state of the United States and may not be offered, sold
or delivered, directly or indirectly in the United States or to, or for the account or
benefit of, a "U.S. person" (as defined in Regulation S under the
Securities Act) absent registration or an applicable exemption from
such registration requirements. This press release does not
constitute an offer to sell or a solicitation to buy securities in
the United States and any public
offering of the securities in the United
States must be made by means of a prospectus.
About Manulife
Canada and the United States. We operate as John Hancock in the U.S. and as Manulife in
other parts of the world. We provide strong, reliable, trustworthy
and forward-thinking solutions for our customers' significant
financial decisions. Our international network of employees, agents
and distribution partners offers financial protection and wealth
management products and services to millions of clients. We also
provide asset management services to institutional customers. Funds
under management by Manulife and its subsidiaries were
approximately C$663 billion
(US$591 billion) as at September 30, 2014.
Manulife Financial Corporation trades as 'MFC' on the TSX, NYSE
and PSE, and under '945' on the SEHK. Manulife can be found on the
Internet at manulife.com
SOURCE Manulife Financial Corporation