/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE
SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES./
EDMONTON, AB, June
25, 2020 /CNW/ - Canadian Western Bank ("CWB") (TSX: CWB)
today announced its intent to issue, on a private placement basis
in Canada, $125 million aggregate principal amount of
4.840% Series G Subordinated Debentures due June 29, 2030 (Non-Viability Contingent
Capital (NVCC)) (the "Debentures"). National Bank Financial
Inc. acted as advisor on the placement. The expected closing date
is on or about June 29, 2020.
Interest on the Debentures will be payable semi-annually from
the date of issue until June 29, 2025
at 4.840% per annum. From June 29,
2025 until maturity on June 29,
2030, the Debentures will pay a quarterly coupon at a rate
of the three month bankers' acceptance rate plus 4.102% per annum,
beginning on September 29, 2025.
On or after June 29, 2025, CWB
may, at its option, with the prior approval of the Superintendent
of Financial Institutions Canada, on giving not more than 60 nor
less than 30 days' notice to the registered holders of the
Debentures, redeem the Debentures, in whole or in part, on any date
at a redemption price equal to the outstanding principal amount
plus accrued and unpaid interest to but excluding the date fixed
for redemption.
Net proceeds from the private placement will be added to CWB's
general funds and utilized for general banking purposes.
The Debentures have not been and will not be registered under
the U.S. Securities Act of 1933, as amended, or under any state
securities laws, and may not be offered, sold, directly or
indirectly, or delivered within the
United States of America and its territories and possessions
or to, or for the account or benefit of, United States persons except in certain
transactions exempt from the registration requirements of such Act
and applicable state securities laws. This press release shall not
constitute an offer to sell or a solicitation of an offer to buy
securities in the United
States.
About CWB Financial Group
CWB is a diversified financial services organization known for a
highly proactive client experience serving businesses and
individuals across Canada.
Operating from headquarters in Edmonton,
Alberta, CWB's key business lines include full service
business and personal banking offered through branch locations of
Canadian Western Bank and Internet banking services provided by
Motive Financial. Highly responsive nation-wide specialized
financing is delivered under the banners of CWB Optimum Mortgage,
CWB Equipment Financing, CWB National Leasing, CWB Maxium Financial
and CWB Franchise Finance. Trust services are offered through CWB
Trust Services. Comprehensive wealth management services are
provided through CWB Wealth Management and its affiliate brands,
including TE Wealth, CWB McLean & Partners, Leon Frazer & Associates, and Canadian
Western Financial. As a public company on the Toronto Stock
Exchange (TSX), CWB trades under the symbols "CWB" (common shares),
"CWB.PR.B" (Series 5 Preferred Shares), "CWB.PR.C" (Series 7
Preferred Shares) and "CWB.PR.D" (Series 9 Preferred Shares). Learn
more at www.cwb.com.
Caution Regarding Forward-Looking Statements
Certain information contained herein constitutes forward-looking
information under applicable securities laws. Forward-looking
statements in this news release include, but are not limited to,
statements with respect to the timing of completion and size of the
private placement of the Debentures and the use of proceeds. These
statements are based on current expectations and are inherently
subject to significant risks, uncertainties and changes in
circumstances, many of which are beyond the control of CWB. These
risks include, but are not limited to, the failure or delay in
satisfying any of the conditions to the completion of the private
placement. Except as required by law, CWB does not undertake to
update any forward-looking statements, whether written or oral,
that may be made from time to time, by it or on its behalf. The
forward-looking information contained in this press release is
presented for the purpose of interpreting the information contained
herein and may not be appropriate for other purposes.
SOURCE CWB Financial Group