CANADIAN WESTERN BANK Canadian Western Bank (CWB) announced its intent to issue $250 million aggregate principal amount of 5.949% Series I Subordinated Debentures due January 29, 2034 (Non-Viability Contingent Capital (NVCC)) (the Debentures). The Debentures are to be sold through a syndicate of agents led by RBC Capital Markets, Scotiabank and TD Securities. The expected closing date is on or about January 29, 2024. Interest on the Debentures will be payable semi-annually from the date of issue until January 29, 2029 at 5.949% per annum.
From January 29, 2029 until maturity on January 29, 2034, the Debentures will pay a quarterly coupon at a rate equal to Daily Compounded CORRA plus 2.73%, beginning on April 29, 2029. On or after January 29, 2029, CWB may, at its option, with the prior approval of the Superintendent of Financial Institutions Canada, on giving not more than 60 nor less than 30 days' notice to the registered holders of the Debentures, redeem the Debentures, in whole or in part, on any date at a redemption price equal to the outstanding principal amount plus accrued and unpaid interest to but excluding the date fixed for redemption. Net proceeds from the offering will be added to CWB's general funds and utilized for general corporate purposes.
CWB intends to file a prospectus supplement to its June 1, 2022 base shelf prospectus in all provinces and territories of Canada in respect of this issue.
