Sun Life Financial-S issued subordinated bonds with a principal amount of $1 billion CAD

Sun Life Financial-S (00945) announced today that it intends to issue $1 billion principal amount of fixed rate, floating rate, subordinated debentures due 2034, bearing interest at 4.064% per annum. In connection with this issuance, Sun Life intends to file a supplemental filing to its existing shelf prospectus. These debentures will bear a fixed rate of 4.064% per annum until December 6, 2029, and thereafter will bear interest at the average overnight rate in Canada plus 1.25% per annum, calculated on a daily basis and accrued on a 360-day basis. The maturity date of these debentures is December 6, 2034. Sun Life may redeem all or part of the debentures at par value plus accrued and unpaid interest to the redemption date, subject to prior regulatory approval, on or after December 6, 2029. The syndicate is being led by RBC Capital Markets, CIBC Capital Markets and Scotiabank and is expected to close on December 6, 2024. Sun Life intends to use the net proceeds of the issuance of the debentures for general corporate purposes, including investment in subsidiaries and for future redemption of existing securities.