/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
TORONTO, June 25, 2024 /CNW/ - Bank of Montreal (TSX: BMO) (NYSE: BMO) today
announced a domestic public offering of $1.00 billion of subordinated notes
(Non-Viability Contingent Capital (NVCC)) (the "Notes") through its
Canadian Medium-Term Note Program. The net proceeds from this
offering will be added to the general funds of the Bank and
will be utilized for general banking purposes, which may include
the redemption of outstanding capital securities of the Bank,
and/or the repayment of other outstanding liabilities of the
Bank.
The Notes bear interest at a fixed rate
of 4.976 per cent per annum (paid
semi-annually) until July 03, 2029,
and at Daily Compounded CORRA plus 1.63
per cent thereafter (paid quarterly) until their maturity on
July 03, 2034. The
expected closing date is July 03,
2024. BMO Capital Markets is acting as lead agent on the
issue.
The Bank may, at its option, with the prior approval of the
Office of the Superintendent of Financial Institutions Canada (the
"Superintendent"), redeem the Notes on or after July 03, 2029, at par, in whole at any time or in
part from time to time, on not less than 10 days' and not more than
60 days' notice to registered holders, at a redemption price that
is equal to par, together with accrued and unpaid interest to, but
excluding, the date fixed for redemption.
At any time on or after a regulatory event date or the date of
the occurrence of a tax event prior to July
03, 2029, the Bank may, at its option, with the prior
approval of the Superintendent, on giving not more than 60 nor less
than 10 days' notice to the registered holders of the Notes, redeem
all (but not less than all) of the Notes at a redemption price that
is equal to the greater of the Canada yield price and par, together in either
case with accrued and unpaid interest to, but excluding, the date
fixed for redemption.
The Notes have not been, and will not be, registered under the
U.S. Securities Act of 1933, as amended (the "U.S. Securities
Act"), and may not be offered, sold or delivered directly, or
indirectly, in the United States
absent registration or an applicable exemption from the
registration requirements of the U.S. Securities Act. This press
release does not constitute an offer to sell or a solicitation to
buy securities in the United
States or in any other jurisdiction where such offer or
solicitation would be unlawful.
About BMO Financial Group
BMO Financial Group is the eighth largest bank in North
America by assets, with total assets of $1.4 trillion as of April
30, 2024. Serving customers for 200 years and counting, BMO is a
diverse team of highly engaged employees providing a broad range of
personal and commercial banking, wealth management, global markets
and investment banking products and services to 13 million
customers across Canada, the United
States, and in select markets globally. Driven by a single
purpose, to Boldly Grow the Good in business and life, BMO
is committed to driving positive change in the world, and making
progress for a thriving economy, sustainable future, and inclusive
society.
SOURCE BMO Financial Group