Sun Life completes offering of Subordinated Unsecured Debentures

Rhea-AI Summary

On October 1, 2020, Sun Life Financial Inc. (TSX: SLF) successfully completed a public offering of $750 million in Series 2020-2 Subordinated Unsecured 2.06% Fixed/Floating Debentures due 2035. The net proceeds from this offering will be allocated for general corporate purposes, such as subsidiary investments and debt repayment. Notably, these debentures are not registered under the U.S. Securities Act and cannot be offered to U.S. persons. As of June 30, 2020, Sun Life reported total assets under management of $1,122 billion.

Positive

• Successfully raised $750 million through subordinated unsecured debentures, enhancing corporate financial flexibility.
• Debt repayment may reduce interest burden, improving overall financial health.

Negative

• None.

TORONTO, Oct. 1, 2020 /PRNewswire/ - Sun Life Financial Inc. (TSX: SLF) (NYSE: SLF) (the "Company") announced today the successful completion of the public offering in Canada of $750 million principal amount of Series 2020-2 Subordinated Unsecured 2.06% Fixed/Floating Debentures due 2035 (the "Debentures").  The net proceeds will be used for general corporate purposes of the Company, which may include investments in subsidiaries, repayment of indebtedness, and other strategic investments.

The Debentures were sold under a pricing supplement dated September 29, 2020, issued pursuant to its short form base shelf prospectus and its prospectus supplement, each dated March 28, 2019, all of which are available on the SEDAR website for the Company at www.sedar.com.

The Debentures have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered, sold or delivered, directly or indirectly, 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. This release does not constitute an offer to sell or a solicitation to buy such securities in the United States.

About Sun Life
Sun Life is a leading international financial services organization providing a diverse range of insurance, wealth and asset management solutions to individual and corporate Clients. Sun Life has operations in a number of markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia and Bermuda. As of June 30, 2020, Sun Life had total assets under management of $1,122 billion. For more information please visit www.sunlife.com.

Sun Life Financial Inc. trades on the Toronto (TSX), New York (NYSE) and Philippine (PSE) stock exchanges under the ticker symbol SLF.

Note to editors: All figures in Canadian dollars

Media Relations Contact:	Investor Relations Contact:
Irene Poon	Leigh Chalmers
Manager Corporate Communications	Senior Vice-President, Head of Investor Relations & Capital Management
Sun Life	Sun Life
t. 416-988-0542	t. 647-256-8201
irene.poon@sunlife.com	Investor.relations@sunlife.com

 

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SOURCE Sun Life Financial Inc.

FAQ

What was the purpose of Sun Life's October 2020 debenture offering?

The proceeds from the offering will be used for general corporate purposes, including investments in subsidiaries and repayment of indebtedness.

How much did Sun Life raise in its October 2020 offering?

Sun Life raised $750 million through the offering of subordinated unsecured debentures.

What is the maturity date of Sun Life's 2.06% debentures?

The debentures are due in 2035.

Is Sun Life's offering registered under U.S. securities laws?

No, the debentures are not registered under the U.S. Securities Act and cannot be offered to U.S. persons.

What are the interest rates for Sun Life's 2020-2 debentures?

The debentures carry an interest rate of 2.06%, with fixed and floating components.