Loan & DebtJun 30, 2026, 06:06 AM
Sun Life Resets Capital Notes Interest Rate to 5.614%
AI Summary
Sun Life Financial Inc. announced the interest rate reset for its $1 billion principal amount of 3.60% Limited Recourse Capital Notes Series 2021-1. The new interest rate for the five-year period commencing June 30, 2026, will be 5.614% per annum. This rate was determined by adding 2.604% to the Government of Canada Yield as of June 29, 2026. Interest will continue to be paid semi-annually, and the notes are callable starting in 2031.
Key Highlights
- Interest rate for $1 billion Limited Recourse Capital Notes Series 2021-1 reset to 5.614% per annum.
- New rate applies for the five-year period from June 30, 2026, to June 30, 2031.
- Previous interest rate was 3.60%.
- Rate calculated as Government of Canada Yield plus 2.604%.
- Interest payable semi-annually on June 30 and December 31.
- Notes mature on June 30, 2081.
- Callable from May 31, 2031, to June 30, 2031, and every five years thereafter.
Price Impact
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