Industrial Alliance Closes $100M Preferred Share Offering

Industrial Alliance Insurance and Financial Services Inc. (“Industrial Alliance” or the “Company”) announced that it closed its bought deal public offering of Non-Cumulative 5-Year Rate Reset Class A Preferred Shares Series G (the “Series G Preferred Shares”) at a price of $25.00 per Series G Preferred Share purchased by a syndicate of underwriters led by BMO Capital Markets. The offering resulted in a total of 4,000,000 Series G Preferred Shares being issued by Industrial Alliance for gross proceeds of $100,000,000, and constituted an additional issuance to the 6,000,000 Series G Preferred Shares issued by the Company on a bought deal basis to a syndicate of underwriters led by Scotiabank and RBC Capital Markets on June 1, 2012, for gross proceeds of $150,000,000.

The aggregate $250,000,000 Series G Preferred Shares were issued under prospectus supplements dated May 25 and June 20, 2012, to the short form base shelf prospectus of Industrial Alliance dated April 29, 2011.

The net proceeds of these offerings will be used for general corporate and capital planning purposes and will be added to Industrial Alliance's capital base.

The Industrial Alliance legal team was led by Douglas Carrothers, Vice-President, Legal Services and Corporate Secretary, and Jennifer Dibblee, Director of Corporate Affairs. They were supported by a team from Norton Rose Canada LLP consisting of Steve Malas, Thierry Dorval, Amélie Métivier and Catherine Simard (corporate/securities) and Derek Chiasson (tax).

The underwriters were represented by McCarthy Tétrault LLP with a team that included Barry Ryan, Andrew Parker and Charles-Antoine Soulière (corporate/securities) and Gabrielle Richards (tax).