Manulife Financial Corporation announces Dividend Rates on Non-cumulative Rate Reset Class 1 Shares Series 11 and Non-cumulative Floating Rate Class 1 Shares Series 12

Rhea-AI Summary

Manulife Financial Corporation (MFC) announced the dividend rates for its Series 11 and Series 12 Preferred Shares as of February 21, 2023. For the Series 11 Preferred Shares, the fixed quarterly cash dividend will be C$0.384938, equating to an annual rate of 6.15900%, effective from March 20, 2023, to March 19, 2028. For the Series 12 Preferred Shares, the floating quarterly cash dividend will be C$0.452438, or 1.80975% for the initial three-month period from March 20 to June 19, 2023. Shareholders must notify their brokers by March 6, 2023, to convert their Series 11 shares to Series 12. The Series 12 shares will be listed under the symbol MFC.PR.S.

Positive

• Dividend rate of 6.15900% per annum for Series 11 Preferred Shares.
• Quarterly cash dividend of C$0.384938 enhances shareholder income.
• Listing of Series 12 Preferred Shares on TSX under symbol MFC.PR.S.

Negative

• Conversion process for Series 11 to Series 12 may complicate shareholding.

C$ unless otherwise stated                                                                    TSX/NYSE/PSE: MFC     SEHK: 945

TORONTO, Feb. 21, 2023 /PRNewswire/ - Manulife Financial Corporation ("Manulife") today announced the applicable dividend rates for its Non-cumulative Rate Reset Class 1 Shares Series 11 (the "Series 11 Preferred Shares") (TSX: MFC.PR.J) and Non-cumulative Floating Rate Class 1 Shares Series 12 (the "Series 12 Preferred Shares").

With respect to any Series 11 Preferred Shares that remain outstanding after March 19, 2023, holders thereof will be entitled to receive fixed rate non-cumulative preferential cash dividends on a quarterly basis, as and when declared by the Board of Directors of Manulife and subject to the provisions of the Insurance Companies Act (Canada). The dividend rate for the five-year period commencing on March 20, 2023, and ending on March 19, 2028, will be 6.15900% per annum or $0.384938 per share per quarter, being equal to the sum of the five-year Government of Canada bond yield as at February 21, 2023, plus 2.61%, as determined in accordance with the terms of the Series 11 Preferred Shares.

With respect to any Series 12 Preferred Shares that may be issued on March 20, 2023 in connection with the conversion of the Series 11 Preferred Shares into the Series 12 Preferred Shares, holders thereof will be entitled to receive floating rate non-cumulative preferential cash dividends on a quarterly basis, calculated on the basis of the actual number of days elapsed in each quarterly floating rate period divided by 365, as and when declared by the Board of Directors of Manulife and subject to the provisions of the Insurance Companies Act (Canada). The dividend rate for the three-month period commencing on March 20, 2023, and ending on June 19, 2023, will be 1.80975% (7.18000% on an annualized basis) or $0.452438 per share, being equal to the sum of the three-month Government of Canada Treasury bill yield as at February 21, 2023, plus 2.61%, as determined in accordance with the terms of the Series 12 Preferred Shares.

Beneficial owners of Series 11 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 March 6, 2023. The news release announcing such conversion right was issued on January 31, 2023 and can be viewed on SEDAR or Manulife's website. Conversion inquiries should be directed to Manulife's Registrar and Transfer Agent, TSX Trust Company, at 1–800–783–9495.

The Toronto Stock Exchange ("TSX") has conditionally approved the listing of the Series 12 Preferred Shares effective upon conversion. Listing of the Series 12 Preferred Shares is subject to Manulife fulfilling all the listing requirements of the TSX and, upon approval, the Series 12 Preferred Shares will be listed on the TSX under the trading symbol "MFC.PR.S".

The Series 11 Preferred Shares and the Series 12 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 provider, helping people make their decisions easier and lives better. With our global headquarters in Toronto, Canada, we provide financial advice and insurance, operating as Manulife across Canada, Asia, and Europe, and primarily as John Hancock in the United States. Through Manulife Investment Management, the global brand for our Global Wealth and Asset Management segment, we serve individuals, institutions, and retirement plan members worldwide. At the end of 2022, we had more than 40,000 employees, over 116,000 agents, and thousands of distribution partners, serving over 34 million customers. We trade as 'MFC' on the Toronto, New York, and the Philippine stock exchanges and under '945' in Hong Kong.

Not all offerings are available in all jurisdictions. For additional information, please visit manulife.com.

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SOURCE Manulife Financial Corporation

FAQ

What is the dividend rate for Manulife's Series 11 Preferred Shares?

The dividend rate for Series 11 Preferred Shares is 6.15900% per annum.

When will the dividends for Series 11 and Series 12 be paid?

Dividends are paid quarterly, with Series 11 commencing on March 20, 2023.

What is the dividend amount for Series 12 Preferred Shares?

The dividend amount for Series 12 Preferred Shares for the initial period is C$0.452438.

When is the deadline for converting Series 11 to Series 12 Preferred Shares?

The conversion must be instructed by 5:00 p.m. Toronto time on March 6, 2023.

What is the ticker symbol for Manulife's Series 12 Preferred Shares?

The ticker symbol for Series 12 Preferred Shares is MFC.PR.S.