/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE
UNITED STATES./
TSX:GWO
WINNIPEG, March 12, 2013 /CNW/ - Great-West Lifeco Inc. announced today
the completion of its previously announced bought deal offering of
25,300,000 subscription receipts at a price of $25.70 per subscription
receipt for gross proceeds of approximately $650 million. Concurrently
with the closing of the public offering, Great-West Lifeco completed
private placements of 21,410,000 subscription receipts to a subsidiary
of Power Financial Corporation and 1,950,000 subscription receipts to a
subsidiary of IGM Financial Inc., at a price of $25.70 per subscription
receipt, for gross proceeds of approximately $600 million. The
subscription receipts will be posted for trading on the Toronto Stock
Exchange under the symbol "GWO.R".
The proceeds of the offering and the concurrent private placements will
be held in escrow pending the completion of Great-West Lifeco's
previously announced acquisition of all of the shares of Irish Life
Group Limited. The acquisition is expected to close in July of 2013,
and is subject to customary regulatory approvals, including approvals
from the European Commission under the EU Merger Regulation, and
certain closing conditions.
The securities offered have not been and will not be registered under
the U.S. Securities Act of 1933, as amended, and may not be offered or
sold in the United States absent registration or an applicable
exemption from the registration requirements. This press release shall
not constitute an offer to sell or the solicitation of an offer to buy
nor shall there be any sale of the securities in any State in which
such offer, solicitation or sale would be unlawful.
Great-West Lifeco Inc. (TSX:GWO) is an international financial services
holding company with interests in life insurance, health insurance,
retirement and investment services, asset management and reinsurance
businesses. Great-West Lifeco has operations in Canada, the United
States, Europe and Asia through The Great-West Life Assurance Company,
London Life Insurance Company, The Canada Life Assurance Company,
Great-West Life & Annuity Insurance Company and Putnam Investments,
LLC. Great-West Lifeco and its companies have $546 billion* in assets
under administration and are members of the Power Financial Corporation
group of companies.
*Assets as of December 31, 2012
Cautionary Note Regarding Forward-Looking Information
This release contains some forward-looking statements about Great-West
Lifeco, including its business operations, strategy and expected
financial performance and condition. Forward-looking statements include
statements that are predictive in nature, depend upon or refer to
future events or conditions, or include words such as "expects",
"anticipates", "intends", "plans", "believes", "estimates" and similar
expressions or negative versions thereof. In addition, any statement
that may be made concerning future financial performance (including
revenues, earnings or growth rates), ongoing business strategies or
prospects and possible future action by Great-West Lifeco, including
statements with respect to the expected benefits of acquisitions or
divestitures, are also forward-looking statements. Forward-looking
statements are based on expectations and projections about future
events that were current at the time of the statements and are
inherently subject to, among other things, risks, uncertainties and
assumptions about Great-West Lifeco, economic factors and the financial
services industry generally, including the insurance and mutual fund
industries. Material factors or assumptions that were applied in
formulating the forward-looking information contained herein include
the assumption that the business and economic conditions affecting
Great-West Lifeco's and Irish Life's respective operations will
continue substantially in their current state, including, without
limitations, with respect to industry conditions, general levels of
economic activity, market prices for products provided, business
competition, continuity and availability of personnel and third party
service providers, local and international laws and regulations,
foreign exchange rates and interest rates, inflation, taxes, and that
there will be no unplanned material changes to Great-West Lifeco's or
Irish Life's facilities, customer and employee relations and credit
arrangements.
Forward-looking statements are not guarantees of future performance, and
actual events and results could differ materially from those expressed
or implied by forward-looking statements due to, but not limited to,
important factors such as sales levels, premium income, fee income,
expense levels, mortality experience, morbidity experience, policy
lapse rates, taxes, general economic, political and market factors in
North America and internationally, interest and foreign exchange rates,
global equity and capital markets, business competition, technological
change, changes in government regulations, changes in accounting
policies and the effect of applying future accounting policy changes,
unexpected judicial or regulatory proceedings, catastrophic events, and
Great-West Lifeco's ability to complete strategic transactions and
integrate acquisitions. The reader is cautioned that the foregoing list
of important factors is not exhaustive, and there may be other factors,
including factors set out under "Risk Management and Control Practices"
and "Summary of Critical Accounting Estimates" in Great-West Lifeco's
2012 Annual Management's Discussion and Analysis and any listed in
other filings with securities regulators, which are available for
review at www.sedar.com. The reader is also cautioned to consider these and other factors
carefully and to not place undue reliance on forward-looking
statements. Other than as specifically required by applicable law,
Great-West Lifeco does not intend to update any forward-looking
statements whether as a result of new information, future events or
otherwise.
SOURCE: Great-West Lifeco Inc.
