TORONTO, April 1, 2014 /CNW/ - Equitable Bank, a wholly owned subsidiary
of Equitable Group Inc. (TSX: EQB) and (TSX: EQB.PR.A) today announced
the successful institutional placement of a $150 million three-year
fixed rate Deposit Note. The note was priced at 135 basis points over
the interpolated Government of Canada yield curve and has a coupon rate
"This is the Bank's first issuance of Deposit Notes and we are
particularly pleased with the strong reception from the investor
community," said Andrew Moor, President and Chief Executive Officer.
"This was evidenced by broad institutional investor demand and an order
book that was well oversubscribed. The transaction highlights our
commitment to becoming a more diversified financial institution and
broadening our deposit base. It also reflects the rising awareness of
the Equitable Bank brand in the marketplace."
The issuance was completed with RBC Capital Markets and CIBC World
Markets acting as co-leads and bookrunners, supported by BMO Capital
Markets, Scotiabank, and TD Securities as co-managers.
The note is the first issuance in what the Bank expects to be an ongoing
Deposit Note program, and as such it intends to become a regular issuer
of Deposit Notes in the future.
ABOUT EQUITABLE GROUP INC.
Equitable Group Inc. is a growing Canadian financial services business
that serves the market through its wholly-owned subsidiary, Equitable
Bank. Equitable Bank is a federally regulated Schedule I Bank with
total assets of approximately $12 billion, with 295 skilled employees
and proven capabilities in lending and deposit-taking. The Company's
integrated operations are organized according to specialty. Within
Equitable Bank's Core Lending business, Single Family Lending Services
funds mortgages for owner-occupied and investment properties across
Canada while Commercial Lending Services provides mortgages on a
variety of commercial properties on a national basis. Equitable's
Securitization Financing business originates and securitizes insured
residential mortgages under the Canada Mortgage and Housing Corporation
administered National Housing Act. Equitable Bank provides savings
products including Guaranteed Investment Certificates and savings
accounts. Equitable Bank was founded in 1970 as The Equitable Trust
Company. For more information, visit the Company's website at www.equitablebank.ca and click on Investor Relations.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Statements made by the Company in this news release include
forward-looking statements within the meaning of applicable securities
laws ("forward-looking statements"). These statements include, but are
not limited to, statements about the Company's objectives, strategies
and initiatives, financial result expectations and other statements
made herein. Although the Company believes the assumptions used to
make such statements are reasonable at this time and has attempted to
identify in its continuous disclosure documents important factors that
could cause actual results to differ materially from those contained in
forward-looking statements, there may be other factors that cause
results not to be as anticipated, estimated or intended. Accordingly,
readers should not place undue reliance on forward-looking statements.
The Company does not undertake to update any forward-looking statements
that are contained herein, except in accordance with applicable
securities laws. Please see the Company's 2013 MD&A found at www.equitablebank.ca or at www.sedar.com for additional information.
SOURCE: Equitable Group Inc.
For further information:
President and Chief Executive Officer
Vice President and Chief Financial Officer