- Sun Life Financial (TSX: SLF) (NYSE: SLF) will not redeem its Series 8R and Series 9QR preferred shares on June 30, 2025.
- Shareholders have the option to convert shares on a one-for-one basis between the Series 8R and Series 9QR.
- Conversion rights must be exercised by 5:00 p.m. (ET) on June 16, 2025, with dividend rates to be announced on May 30, 2025.
Sun Life Financial Inc. (TSX: SLF) (NYSE: SLF) announced it will not proceed with the redemption of its Class A Non-Cumulative Rate Reset Preferred Shares Series 8R and Class A Non-Cumulative Floating Rate Preferred Shares Series 9QR on June 30, 2025. Instead, the shareholders have the opportunity to convert their shares from one series to the other on a one-for-one basis.
The conversion rights are subject to a minimum holding condition of one million shares for each series. Should the number of shares in either series fall below this threshold, an automatic conversion will occur. The new dividend rates for both series will be made public on May 30, 2025.
Sun Life has set a deadline for shareholders to exercise their conversion rights by 5:00 p.m. (ET) on June 16, 2025. The company advises shareholders to communicate with their brokers or other nominees to ensure proper execution of conversion requests.
Sun Life may redeem these shares subject to regulatory approval, under specific conditions. For Series 8R, redemption can occur on or after June 30, 2030, at a price of $25.00 per share, while Series 9QR shares may also be redeemed on similar terms, with additional provisions for earlier redemption at $25.50 per share.
The Series 8R and Series 9QR shares are not registered under the U.S. Securities Act, and thus cannot be offered or sold within the United States. Sun Life is a major international financial services corporation, with substantial operations and management of $1.55 trillion in assets as of March 31, 2025.
