First National issues C$175 million of unsecured notes

On April 9, 2015, First National Financial Corporation (First National) announced that it issued C$175 million of new senior unsecured notes. Priced at C$99.96 each, the notes were issued pursuant to a private placement under an offering memorandum for a five-year term maturing on April 9, 2020. The notes bear interest at 4.01% payable in equal semi-annual payments commencing October 9, 2015.

First National intends to use the net proceeds of the offering (i) to make a loan to First National Financial LP to allow it to repay indebtedness under the existing bank credit facility and (ii) for general corporate purposes. In May 2015, First National Financial LP intends to draw C$175 million on the existing bank credit facility and to repay the foregoing loan in order to permit First National to repay the outstanding C$175 million aggregate principal amount of 5.07% series 1 secured debentures.

First National is the parent company of First National Financial LP, a Canadian-based originator, underwriter and servicer of predominantly prime residential (single-family and multi-unit) and commercial mortgages, with C$86 billion in mortgages under administration.

Further information can be found on Canada Newswire's website.