TSX/NYSE/PSE: MFC SEHK: 945
C$ unless otherwise stated
TORONTO, Aug. 10, 2018 /PRNewswire/ - Manulife
Financial Corporation ("Manulife") today announced that it does not
intend to exercise its right to redeem all or any of its currently
outstanding 8,000,000 Non-cumulative Rate Reset Class 1 Shares
Series 13 (the "Series 13 Preferred Shares") (TSX: MFC.PR.K) on
September 19, 2018. As a result, subject to certain conditions
described in the prospectus supplement dated June 17, 2013 relating to the issuance of the
Series 13 Preferred Shares (the "Prospectus"), the holders of
the Series 13 Preferred Shares have the right, at their option, to
convert all or part of their Series 13 Preferred Shares on a
one-for-one basis into Non-cumulative Floating Rate Class 1 Shares
Series 14 of Manulife (the "Series 14 Preferred Shares") on
September 19, 2018. A formal notice of the right to convert
Series 13 Preferred Shares into Series 14 Preferred Shares will be
sent to the registered holders of the Series 13 Preferred Shares in
accordance with the share conditions of the Series 13 Preferred
Shares. Holders of Series 13 Preferred Shares are not required to
elect to convert all or any part of their Series 13 Preferred
Shares into Series 14 Preferred Shares. Holders who do not exercise
their right to convert their Series 13 Preferred Shares into
Series 14 Preferred Shares on such date will retain their
Series 13 Preferred Shares, unless automatically converted in
accordance with the conditions below.
The foregoing conversion right is subject to the conditions
that: (i) if, after September 4, 2018, Manulife determines
that there would be less than 1,000,000 Series 13 Preferred Shares
outstanding on September 19, 2018, then all remaining
Series 13 Preferred Shares will automatically be converted
into an equal number of Series 14 Preferred Shares on
September 19, 2018, and (ii) alternatively, if, after
September 4, 2018, Manulife determines that there would be
less than 1,000,000 Series 14 Preferred Shares outstanding on
September 19, 2018, then no Series 13 Preferred Shares will be
converted into Series 14 Preferred Shares. In either case,
Manulife will give written notice to that effect to any registered
holders of Series 13 Preferred Shares affected by the preceding
minimums on or before September 11,
2018.
The dividend rate applicable to the Series 13 Preferred Shares
for the 5-year period commencing on September 20, 2018, and
ending on September 19, 2023, and the dividend rate applicable
to the Series 14 Preferred Shares for the 3-month period commencing
on September 20, 2018, and ending on December 19, 2018,
will be determined and announced by way of a news release on
August 21, 2018. Manulife will also give written notice of
these dividend rates to the registered holders of Series 13
Preferred Shares.
Beneficial owners of Series 13 Preferred Shares who wish to
exercise their right of conversion should instruct their broker or
other nominee to exercise such right before 5:00 p.m. (Toronto time) on September 4, 2018.
Conversion inquiries should be directed to Manulife's Registrar and
Transfer Agent, AST Trust Company (Canada), at 1-800-387-0825.
Subject to certain conditions described in the Prospectus,
Manulife may redeem the Series 13 Preferred Shares, in whole
or in part, on September 19, 2023 and on September 19
every five years thereafter and may redeem the Series 14
Preferred Shares, in whole or in part, after September 19,
2018.
The Toronto Stock Exchange ("TSX") has conditionally approved
the listing of the Series 14 Preferred Shares effective upon
conversion. Listing of the Series 14 Preferred Shares is
subject to Manulife fulfilling all the listing requirements of the
TSX and, upon approval, the Series 14 Preferred Shares will be
listed on the TSX under the trading symbol "MFC.PR.S".
The Series 13 Preferred Shares and the Series 14 Preferred
Shares 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
Manulife Financial Corporation is a leading international
financial services group that helps people make their decisions
easier and lives better. We operate primarily as John Hancock in the
United States and Manulife elsewhere. We provide financial
advice, insurance, as well as wealth and asset management solutions
for individuals, groups and institutions. At the end of 2017, we
had about 35,000 employees, 73,000 agents, and thousands of
distribution partners, serving more than 26 million customers. As
of June 30, 2018, we had over
$1.1 trillion (US$849 billion) in assets under management and
administration, and in the previous 12 months we made $27.6 billion in payments to our customers. Our
principal operations are in Asia,
Canada and the United States where we have served
customers for more than 100 years. With our global headquarters in
Toronto, Canada, we trade as 'MFC'
on the Toronto, New York, and the Philippine stock exchanges
and under '945' in Hong Kong.
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SOURCE Manulife Financial Corporation