TSX:LCS - Post Discussion
Post by
wreckhouse on Nov 01, 2023 6:58am
TID BIT NEWS
-- (TSX: LCS, LCS.PR.A) Brompton Lifeco Split Corp. (the “Company”) is pleased to announce that the board of directors has approved an extension of the maturity date of the class A (the “Class A Shares”) and preferred shares (the “Preferred Shares”) of the Company. The current maturity date of April 29, 2024 will be extended for an additional 5-year term to April 27, 2029. The Preferred Share dividend rate for the extended term will be announced at least 60 days prior to the current April 29, 2024 maturity date and will be based on market yields for preferred shares with similar terms at that time.
The 5-year term extension allows Class A shareholders to continue their investment in Canadian life insurance companies with an attractive distribution rate of 14.7%, based on the August 9, 2023 closing price, and the opportunity for capital appreciation. The extension of the term of the Company is not a taxable event and enables shareholders to defer potential capital gains tax liability that would have otherwise been realized on the redemption of Class A Shares or Preferred Shares at the end of the term, until such time that shares are disposed of by shareholders. BCRNW
Be the first to comment on this post