National Bank equity financing

On June 11, 2024, National Bank announced its intention to complete an equity financing in connection with its acquisition of Canadian Western Bank (“CWB”), comprised of a public offering and a concurrent private placement of subscription receipts for gross proceeds totaling approximately C$1.04 billion.

Closing of the public offering took place on June 17, 2024, with the private placement closing concurrently.

Pursuant to the public offering, National Bank issued and sold 4,453,000 subscription receipts at a price of C$112.30 for total gross proceeds of approximately C$500 million. The offering was underwritten on a bought deal basis by a syndicate of underwriters led by National Bank Financial Inc. As part of the over-allotment option made available by National Bank under the offering, the underwriters purchased an additional 178,250 subscription receipts at the offering price, increasing the total proceeds under the public offering to C$520,089,375.

Under the terms of the concurrent private placement, National Bank issued and sold 4,453,000 subscription receipts at the public offering price to CDPQ Marchés boursiers inc, an affiliate of the Caisse de dépôt et placement du Québec ("CDPQ") for gross proceeds of approximately C$500 million. With the exercise of the over-allotment option by the underwriters, CDPQ exercised its right to purchase an additional 178,250 subscription receipts as part of the private placement to maintain its pro-rata ownership.

National Bank intends to use the net proceeds from the financing to support strong regulatory capital ratios following the closing of its acquisition of CWB, to fund any cash consideration under the terms of the transaction and to pay related expenses.

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

With C$442 billion in assets as at April 30, 2024, National Bank is one of Canada's six systemically important banks. It operates through three business segments in Canada: Personal and Commercial Banking, Wealth Management and Financial Markets. A fourth segment, U.S. Specialty Finance and International, complements the growth of its domestic operations.