Royal Bank of Canada Announces NVCC Preferred Share Issue

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

TORONTO, Sept. 24, 2015 /CNW/ - Royal Bank of Canada (RY on TSX and NYSE) today announced a domestic public offering of Non-Cumulative, Preferred Shares Series BJ.

Royal Bank of Canada will issue 6 million Preferred Shares Series BJ priced at $25 per share to raise gross proceeds of $150 million. The bank has granted the Underwriters an option, exercisable in whole or in part, to purchase up to an additional 2 million Preferred Shares Series BJ at the same offering price.

The Preferred Shares Series BJ will yield 5.25 per cent annually, payable quarterly, as and when declared by the Board of Directors of Royal Bank of Canada.

Subject to regulatory approval, on or after February 24, 2021, the bank may redeem the Preferred Shares Series BJ in whole or in part at a declining premium.

The offering will be underwritten by a syndicate led by RBC Capital Markets. The expected closing date is October 2, 2015.

We routinely undertake funding transactions to maintain strong capital ratios and a cost effective capital structure. Net proceeds from this transaction will be used for general business purposes.

The Preferred Shares Series BJ have not been and will not be registered in the United States under the United States Securities Act of 1933, as amended (the "Securities Act"), or the securities laws of any state of the United States and may not be offered, sold or delivered, directly or indirectly in the United States or to, or for the account or benefit of, a "U.S. person" (as defined in Regulation S under the Securities Act) absent registration under the Securities Act or an applicable exemption from such registration requirements. 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.

SOURCE RBC

For further information:

Investor Contact: 
Julia Macleod, Investor Relations, 416-955-7302

Media Contact: 
Seema Sharma, Financial Communications, 416-974-5606


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