/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
OR FOR DISSEMINATION IN THE UNITED
STATES/
TORONTO, May 9, 2024
/CNW/ - Intact Financial Corporation (TSX: IFC) ("Intact" or the
"Company") announced today that it has agreed to issue $300 million aggregate principal amount of Series
15 unsecured medium term notes (the "Notes") by way of private
placement to accredited investors in Canada (the "Private Placement").
The Notes will be direct unsecured obligations of Intact and
will rank equally with all other unsecured and unsubordinated
indebtedness of Intact. The Notes will bear interest at a fixed
annual rate of 4.653% until May 16,
2029 and thereafter at a rate of 1.00% over Daily Compounded
CORRA until their maturity on May 16,
2034.
Intact may redeem the Notes in whole or in part, at its option,
by giving prior notice of not less than 10 days and not more than
60 days to the holders of Notes, on or after May 16, 2029 on payment of a redemption price
equal to par, together with accrued and unpaid interest to, but
excluding, the date of redemption.
Intact intends to use the net proceeds from the Private
Placement towards the repayment of Intact's outstanding
$375 million Series 11 1.207%
unsecured medium term notes due May 21,
2024.
The Notes, offered on a best efforts basis through a syndicate
co-led by CIBC Capital Markets and BMO Capital Markets, are
expected to be issued on or about May 16,
2024. The closing of the Private Placement is subject to
certain customary conditions.
The securities to be offered have not been and will not be
registered under the U.S. Securities Act of 1933, as amended ("U.S.
Securities Act"), and may not be offered or sold in the United States or to or for the account or
benefit of U.S. persons absent registration or an applicable
exemption from the registration requirements of the U.S. Securities
Act. This press release shall not constitute an offer to sell or
the solicitation of an offer to buy such securities in the United States or in any other jurisdiction
where such offer is unlawful.
About Intact Financial
Corporation
Intact Financial Corporation (TSX: IFC) is the largest provider
of property and casualty (P&C) insurance in Canada, a leading provider of global specialty
insurance, and, with RSA, a leader in the U.K. and Ireland. Our business has grown organically
and through acquisitions to over $22
billion of total annual premiums.
In Canada, Intact distributes
insurance under the Intact Insurance brand through a wide network
of brokers, including its wholly owned subsidiary BrokerLink, and
directly to consumers through belairdirect. Intact also provides
affinity insurance solutions through its affinity groups, travel
insurance, as well as exclusive and tailored offerings through
Intact Prestige.
In the U.S., Intact Insurance Specialty Solutions provides a
range of specialty insurance products and services through
independent agencies, regional and national brokers, and
wholesalers and managing general agencies.
In the U.K., Ireland, and
Europe, Intact provides personal,
commercial and specialty insurance solutions through the RSA, NIG
and FarmWeb brands.
Cautionary note regarding
forward-looking statements
Certain of the statements included in this press release about
the Private Placement, including the closing of the Private
Placement, the expected maturity date of the Notes and the expected
use of the net proceeds of the Private Placement, or any other
future events or developments, constitute forward-looking
statements. The words "may", "will", "would", "should", "could",
"expects", "plans", "intends", "trends", "indications",
"anticipates", "believes", "estimates", "predicts", "likely",
"potential" or the negative or other variations of these words or
other similar or comparable words or phrases, are intended to
identify forward-looking statements. Unless otherwise indicated,
all forward-looking statements in this press release are made as of
the date hereof and are subject to change.
Forward-looking statements are based on estimates and
assumptions made by management based on management's experience and
perception of historical trends, current conditions and expected
future developments, as well as other factors that management
believes are appropriate in the circumstances. Many factors could
cause the Company's actual results, performance or achievements or
future events or developments to differ materially from those
expressed or implied by the forward-looking statements. In addition
to other estimates and assumptions which may be identified herein,
estimates and assumptions have been made regarding, among other
things, the anticipated closing of the Private Placement, the
expected maturity date of the Notes and the expected use of the net
proceeds of the Private Placement. However, the completion of the
Private Placement is subject to customary closing conditions,
termination rights and other risks and uncertainties, and there can
be no assurance that the Private Placement will be completed within
anticipated timeframes or at all.
All of the forward-looking statements included in this press
release are qualified by these cautionary statements and those made
in the "Risk Management" sections of the Company's Management's
Discussion and Analysis for the year ended December 31, 2023 (Sections 26‑30), in the "Risk
Management" section of the Company's Management's Discussion and
Analysis for the quarter ended March 31,
2024 (Section 15), in Notes 10 and 12 of the Company's
Consolidated Financial Statements for the year ended December 31, 2023 and in the Company's Annual
Information Form dated February 13,
2024, all of which are available on the Company's website at
www.intactfc.com and on SEDAR+ at www.sedarplus.ca. These factors
are not intended to represent a complete list of the factors that
could affect the Company. These factors should, however, be
considered carefully. Although the forward-looking statements are
based upon what management believes to be reasonable assumptions,
the Company cannot assure investors that actual results will be
consistent with these forward-looking statements. Investors should
not rely on forward-looking statements to make decisions, and
investors should ensure the preceding information is carefully
considered when reviewing forward-looking statements made in this
press release. The Company has no intention and undertakes no
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as required by law.
Disclaimer
This press release does not constitute or form part of any offer
for sale or solicitation of any offer to buy or subscribe for any
securities nor shall it or any part of it form the basis of or be
relied on in connection with, or act as any inducement to enter
into, any contract or commitment whatsoever.
The information contained in this press release concerning the
Company does not purport to be all-inclusive or to contain all the
information that an investor may desire to have in evaluating
whether or not to make an investment in the Company. The
information is qualified entirely by reference to the Company's
publicly disclosed information and the cautionary note regarding
forward-looking statements included in this press release.
No representation or warranty, express or implied, is made or
given by or on behalf of the Company or any of its the directors,
officers or employees as to the accuracy, completeness or fairness
of the information or opinions contained in this press release and
no responsibility or liability is accepted by any person for such
information or opinions. In furnishing this press release, the
Company does not undertake or agree to any obligation to provide
investors with access to any additional information or to update
this press release or to correct any inaccuracies in, or omissions
from, this press release that may become apparent. The information
and opinions contained in this press release are provided as at the
date of this press release. The contents of this press release are
not to be construed as legal, financial or tax advice. Each
investor should contact his, her or its own legal adviser,
independent financial adviser or tax adviser for legal, financial
or tax advice.
Any website address included in this press release is an
inactive textual reference only and information appearing on such
website is not part of, and is not incorporated by reference in,
this press release.
SOURCE Intact Financial Corporation