National Bank of Canada gets tenders for 13.09 million preferreds

By Marisa Wong

Madison, Wis., April 26 - National Bank of Canada announced that it accepted for purchase all non-cumulative five-year rate reset first preferred shares tendered by holders as of Tuesday for a total consideration of C$361,208,775.14.

The Montreal-based bank began a tender offer to purchase all of its outstanding series 21, series 24 and series 26 preferreds on March 4. The offer expired at 5 p.m. ET on April 26.

As of the offer deadline, the bank had received tenders for 4,639,139, or 57.63%, of the outstanding series 21 preferreds; 4,374,120, or 64.33%, of the outstanding series 24 preferreds; and 4,075,165, or 70.26%, of the outstanding series 26 preferreds.

As previously reported, the purchase prices for the preferreds are as follows:

• C$26.81 per series 21 preferred, which represents a 2.8% premium over the Feb. 23 closing price;

• C$28.03 per series 24 preferred, or a 2.5% premium over the Feb. 23 closing price; and

• C$28.03 per series 26 preferred, or a 2.4% premium over the Feb. 23 closing price.

In addition, shareholders of record as of April 8, including those who tendered their preferreds, will receive the regularly scheduled dividend payment on May 15, as previously announced.

The purchases will be funded from existing cash reserves. Preferreds acquired under the offers will be canceled.

Computershare Investor Services Inc. is the depositary.

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