TORONTO and BARBADOS,
May 13, 2021 /CNW/ - Sagicor
Financial Company Ltd. ("Sagicor" or the "Company") today announced
that the Company and Sagicor Life Inc., as guarantor, have
completed its previously announced offering of U.S.$400 million of 5.300% Senior Notes due
May 13, 2028 ("New Notes"). The
Company used partial proceeds of the transaction to repurchase
U.S.$130 million aggregate principal
amount of its 8.875% Senior Notes due 2022 issued by its subsidiary
Sagicor Finance (2015) Limited (the "2022 Notes"). Sagicor also
intends to repurchase the remaining U.S.$188
million of 2022 Notes later this year using part of the
proceeds. Sagicor expects to retain approximately U.S.$70 million of net cash proceeds to be used for
general corporate purposes.
Dodridge Miller, Group President
and CEO of the Company said, "We are pleased with the outcome of
this new note issue and appreciate the strong support by debt
investors. The completion of this refinancing at significantly
improved terms than our prior note issue provides an immediate and
meaningful improvement in our overall cost of capital. It is also a
validation of Sagicor's strategic plan and an important addition to
our long track record of successfully accessing capital to support
our growing business."
The New Notes will bear interest at a fixed annual rate of
5.300% until May 13, 2028 and the
interest will be payable on a semi-annual basis on May 13 and November
13 of each year, commencing November
13, 2021.
The New Notes have been given a rating of BB+ (stable) by
S&P Global Rating Services and BB- (stable) by Fitch Ratings,
Inc.
Global coordinators and joint-book-running managers for the New
Notes were J.P. Morgan Securities LLC and RBC Capital Markets, LLC.
with Jamaica Money Market Brokers Limited ("JMMB") and Sagicor
Investments Jamaica Limited as joint bookrunners.
The New Notes were offered by way of private placement and have
not been and will not be registered or qualified under the U.S.
Securities Act of 1933, as amended (the "Securities Act"), any
Canadian securities laws or any securities laws of any other
jurisdiction. The New Notes were offered and sold only to
"qualified institutional buyers" as defined in and in accordance
with Rule 144A under the Securities Act and outside the United States in accordance with
Regulation S under the Securities Act and applicable local
securities laws. A credit rating or a stability rating is not a
recommendation to buy, sell or hold securities and may be subject
to revision or withdrawal at any time by the credit rating
organization.
This press release is for informational purposes only and does
not constitute or form part of any offer or invitation to purchase,
or any solicitation of any offer to sell, the New Notes or any
other securities in Canada,
the United States or any other
country, nor shall it or any part of it, or the fact of its
release, form the basis of, or be relied on or in connection with,
any contract therefor.
About Sagicor Financial Company Ltd.
Sagicor Financial Company Ltd. (TSX: SFC) is a leading financial
services provider in the Caribbean, with over 180 years of history, and
has a growing presence as a provider of life insurance products in
the United States. Sagicor offers
a wide range of products and services, including life, health, and
general insurance, banking, pensions, annuities, and real estate.
Sagicor's registered office is located at Clarendon House, 2 Church
Street, Hamilton, HM 11,
Bermuda, with its principal office
located at Cecil F De Caires Building, Wildey, St. Michael, Barbados. Additional
information about Sagicor can be obtained by visiting
www.sagicor.com.
Cautionary Statements
Certain information contained in this news release may
be forward-looking statements within the meaning of Canadian
securities laws. Forward-looking statements are often, but not
always identified by the use of words such as "expect",
"anticipate", "believe", "foresee", "could", "estimate", "goal",
"intend", "plan", "seek", "will", "may", "would" and "should" and
similar expressions or words suggesting future outcomes. This news
release includes forward-looking information and statements. These
forward-looking statements reflect material factors and
expectations and assumptions of Sagicor. Sagicor's estimates,
beliefs and assumptions are inherently subject to uncertainties and
contingencies regarding future events and as such, are subject to
change. Risks and uncertainties not presently known to Sagicor or
that it presently believes are not material could cause actual
results or events to differ materially from those expressed in its
forward-looking statements. Additional information on these and
other factors that could affect events and results are included in
other documents and reports that will be filed by Sagicor with
applicable securities regulatory authorities and may be accessed
through the SEDAR website (www.sedar.com). Readers are cautioned
not to place undue reliance on these forward-looking statements,
which reflect Sagicor's expectations only as of the date of this
document. Sagicor disclaims any obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, except as expressly required by
law.
SOURCE Sagicor Financial Company Ltd.