NBC Asset TrustTM (the “Trust”), a closed-end trust established by National Bank of Canada, announced today its intention to redeem all of the outstanding 350,000 Trust Capital Securities – Series 2 (the “NBC CapS II – Series 2”) on June 30, 2020 at a price per unit of $1,000. The redemption has been approved by the Office of the Superintendent of Financial Institutions.
Notice to the NBC CapS II – Series 2 holders will be delivered in accordance with the terms outlined in the NBC CapS II – Series 2 prospectus dated June 25, 2008. Separately from the redemption amount, the final semi-annual distribution of $37.235 per NBC CapS II – Series 2 will be paid in the usual manner on June 30, 2020.
Payment of the redemption amount will be held in a special account in trust with the National Bank of Canada and will be payable to holders of the NBC CapS II – Series 2 as of June 30, 2020. The rights of holders of the NBC CapS II – Series 2 will be limited to receiving the redemption amount and, following the redemption, they will no longer be entitled to distributions or exercise any other rights.
The holders of NBC CapS II – Series 2 should consult their own tax advisors for advice with respect to the income tax consequences to them of such redemption having regard to their particular circumstances.