HALIFAX – Bell Aliant said Monday that it will issue 4 million cumulative rate reset preferred shares worth $100 million.
The series C preferred shares, priced at $25.00 each, will pay cumulative dividends of $1.1375 per share per annum, yielding 4.55%, payable quarterly if, as and when declared by the company's board of directors (with the first quarterly dividend to be paid on March 31, 2012), for the initial five year period ending March 31, 2017.
The company said that the net proceeds of this offering will be used to make a lump-sum voluntary contribution to certain of Bell Aliant's pension plans and for general corporate purposes. The offering is scheduled to close on or about December 7, 2011, subject to certain conditions and approvals.
