National Bank of Canada announces NVCC AT1 limited recourse capital notes offering

On June 11, 2026, National Bank of Canada ("National Bank") closed its previously announced offering of C$600 million of 6.067% limited recourse capital notes, Series 4 (non-viability contingent capital (NVCC)) (subordinated indebtedness) (the “Notes”). The notes were offered by a group of agents led by National Bank Financial Inc.

The notes will bear interest at a rate of 6.067% annually, payable semi-annually, for the initial period ending on but excluding August 16, 2031. Thereafter, the interest rate will reset every 5 years at a rate equal to the prevailing 5-year Government of Canada Yield plus 2.95%. The notes will mature on August 16, 2086.

Concurrent with the issuance of the notes, National Bank also issued non-cumulative 5-year fixed rate reset first preferred shares Series 51 (non-viability contingent capital (NVCC)) to be held by Computershare Trust Company of Canada as trustee for NBC LRCN Limited Recourse Trust. In case of non-payment of interest on or principal of the notes when due, the recourse of each note holder will be limited to that holder's proportionate share of the limited recourse trust's assets in respect of the notes, which will consist of Series 51 preferred shares except in limited circumstances.

Net proceeds from the sale of the notes will be added to National Bank's general funds and will be utilized for general banking purposes. It is expected that closing will take place on June 11, 2026.

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

National Bank of Canada, together with its subsidiaries, forms one of Canada's leading integrated financial groups, with C$618 billion in assets as at April 30, 2026.