/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES/
TORONTO, July 14, 2015 /CNW/ - Royal Bank of Canada (RY on TSX and NYSE)
today announced a domestic public offering of Non-Cumulative, Preferred
Shares Series BI.
Royal Bank of Canada will issue 6 million Preferred Shares Series BI
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 BI at the same offering price.
The Preferred Shares Series BI will yield 4.90 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 November 24, 2020, the bank
may redeem the Preferred Shares Series BI in whole or in part at a
The offering will be underwritten by a syndicate led by RBC Capital
Markets. The expected closing date is July 22, 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 BI 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.
For further information:
Shirley Boudreau, Shareholder Relations, 416-955-7806
Julia Macleod, Investor Relations, 416-955-7302
Seema Sharma, Financial Communications, 416-974-5606