Great-West Lifeco announces pricing of €500 million senior euro bonds
/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE
WINNIPEG, April 11, 2013 /CNW/ - Great-West Lifeco Inc. announced today the
pricing of €500 million senior euro bonds as part of the company's plan to
finance its previously announced acquisition of Irish Life Group Limited.
The €500 million, 10 year bonds will be denominated in euros and will pay an
annual coupon of 2.50% priced at 99.755% of par to yield 2.528%. The bonds
are rated A+ by Standard & Poor's Ratings Services (S&P). The bonds will be
listed on the Irish Stock Exchange and are being sold outside of Canada. This
is Great-West Lifeco's first debt issuance in the euro market. The transaction
is expected to close April 18, 2013.
The offering was made through Joint Lead Managers Barclays Bank PLC and Credit
Suisse Securities (Europe) Limited.
The acquisition of Irish Life Group is expected to close in July of 2013, and
is subject to customary regulatory approvals, including approvals from the
European Commission under the EU Merger Regulation, and certain closing
The securities offered have not been and will not be registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold in the
United States absent registration or an applicable exemption from the
registration requirements. This press release shall not constitute an offer to
sell or the solicitation of an offer to buy nor shall there be any sale of the
securities in any State in which such offer, solicitation or sale would be
Great-West Lifeco Inc. (TSX:GWO) is an international financial services
holding company with interests in life insurance, health insurance, retirement
and investment services, asset management and reinsurance businesses.
Great-West Lifeco has operations in Canada, the United States, Europe and Asia
through The Great-West Life Assurance Company, London Life Insurance Company,
The Canada Life Assurance Company, Great-West Life & Annuity Insurance Company
and Putnam Investments, LLC. Great-West Lifeco and its companies have $546
billion* in assets under administration and are members of the Power Financial
Corporation group of companies.
*Assets as of December 31, 2012
Cautionary Note Regarding Forward-Looking Information
This release contains some forward-looking statements about Great-West Lifeco,
including its business operations, strategy and expected financial performance
and condition. Forward-looking statements include statements that are
predictive in nature, depend upon or refer to future events or conditions, or
include words such as "expects", "anticipates", "intends", "plans",
"believes", "estimates" and similar expressions or negative versions thereof.
In addition, any statement that may be made concerning future financial
performance (including revenues, earnings or growth rates), ongoing business
strategies or prospects and possible future action by Great-West Lifeco,
including statements with respect to the expected benefits of acquisitions or
divestitures, are also forward-looking statements. Forward-looking statements
are based on expectations and projections about future events that were
current at the time of the statements and are inherently subject to, among
other things, risks, uncertainties and assumptions about Great-West Lifeco,
economic factors and the financial services industry generally, including the
insurance and mutual fund industries. Material factors or assumptions that
were applied in formulating the forward-looking information contained herein
include the assumption that the business and economic conditions affecting
Great-West Lifeco's and Irish Life's respective operations will continue
substantially in their current state, including, without limitations, with
respect to industry conditions, general levels of economic activity, market
prices for products provided, business competition, continuity and
availability of personnel and third party service providers, local and
international laws and regulations, foreign exchange rates and interest rates,
inflation, taxes, and that there will be no unplanned material changes to
Great-West Lifeco's or Irish Life's facilities, customer and employee
relations and credit arrangements.
Forward-looking statements are not guarantees of future performance, and
actual events and results could differ materially from those expressed or
implied by forward-looking statements due to, but not limited to, important
factors such as sales levels, premium income, fee income, expense levels,
mortality experience, morbidity experience, policy lapse rates, taxes, general
economic, political and market factors in North America and internationally,
interest and foreign exchange rates, global equity and capital markets,
business competition, technological change, changes in government regulations,
changes in accounting policies and the effect of applying future accounting
policy changes, unexpected judicial or regulatory proceedings, catastrophic
events, and Great-West Lifeco's ability to complete strategic transactions and
integrate acquisitions. The reader is cautioned that the foregoing list of
important factors is not exhaustive, and there may be other factors, including
factors set out under "Risk Management and Control Practices" and "Summary of
Critical Accounting Estimates" in Great-West Lifeco's 2012 Annual Management's
Discussion and Analysis and any listed in other filings with securities
regulators, which are available for review at www.sedar.com. The reader is
also cautioned to consider these and other factors carefully and to not place
undue reliance on forward-looking statements. Other than as specifically
required by applicable law, Great-West Lifeco does not intend to update any
forward-looking statements whether as a result of new information, future
events or otherwise.
Marlene Klassen, APR Assistant Vice-President, Communication Services
SOURCE: Great-West Lifeco Inc.
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-0- Apr/11/2013 15:06 GMT
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