QUEBEC
CITY, QC, Nov. 7, 2023 /CNW/ - With the approval of
the Toronto Stock Exchange ("TSX") and the Autorité des marchés
financiers, the board of directors of iA Financial Corporation Inc.
(TSX: IAG) ("iA Financial Group" or the "Corporation") has
authorized the Corporation to purchase, in the normal course of its
activities, from November 14, 2023 to November 13, 2024, up to 5,046,835 common shares,
representing approximately 5% of its 100,936,705 common shares
issued and outstanding as at October 31,
2023.
As part of its normal course issuer bid ("NCIB"), which expires
on November 13, 2023, the Corporation
is authorized to repurchase up to 5,265,045 common shares for
cancellation. To date, 4,662,708 common shares were repurchased
through the facilities of the Toronto Stock Exchange and
alternative Canadian trading systems and cancelled. The weighted
average price paid for the 4,662,708 common shares was
approximately $83.75 per common
share.
The purchases under the NCIB will be made at market price at the
time of purchase through the facilities of the TSX or an
alternative Canadian trading system, in accordance with market
rules and policies. The common shares purchased will be cancelled.
iA Financial Group believes that the purchase of its common shares
represents an appropriate use of its funds and would be in the best
interests of the Corporation and its shareholders.
The average daily trading volume of the Corporation's common
shares was 207,776 on the TSX over the last six complete calendar
months ending October 31, 2023
("ADTV"). Under TSX rules, the Corporation is entitled to purchase
up to the greater of: 25% of the ADTV of the common shares; or
1,000 common shares on any trading day; or a larger amount of
common shares per calendar week, subject to the maximum number that
may be acquired under the NCIB if the transaction meets the block
purchase exception under TSX rules. Accordingly, unless a block
purchase meeting the block purchase exception under TSX rules is
made, the Corporation is entitled to purchase up to 51,944 common
shares on any trading day.
In connection with the NCIB, iA Financial Group has entered into
an automatic share repurchase plan (the "Automatic Plan"). The
Automatic Plan, which has been pre-cleared by the TSX, will provide
for the potential repurchase of common shares at any time,
including when the Corporation ordinarily would not be active in
the market due to its self-imposed trading blackout periods,
insider trading rules, or otherwise. The actual number of common
shares purchased under the Automatic Plan, the timing of such
purchases and the price at which common shares are purchased will
depend on future market conditions. The Automatic Plan will
commence immediately and terminate when the NCIB terminates. The
Corporation may otherwise vary, suspend or terminate the Automatic
Plan only if it does not have material non-public information and
the decision to vary, suspend or terminate the Automatic Plan is
not taken during a self-imposed trading blackout period. The Plan
constitutes an "automatic plan" for purposes of applicable Canadian
securities legislation.
Shareholders may obtain a copy of the documents filed with the
TSX concerning this bid by writing to the Corporate Secretary of iA
Financial Group.
Forward-looking
statements
This document may contain statements relating to strategies used
by iA Financial Group, or statements that are predictive in nature,
that depend upon or refer to future events or conditions, or that
include words such as "may", "will", "could", "should", "would",
"suspect", "expect", "anticipate", "intend", "plan", "believe",
"estimate", and "continue" (or the negative thereof), as well as
words such as "objective", "goal", "guidance", "outlook" and
"forecast", or other similar words or expressions. Such statements
constitute forward-looking statements within the meaning of
securities laws. In this document, forward-looking statements
include, but are not limited to, expectations regarding the
Corporation's plans to purchase for cancellation shares under its
normal course issuer bid. These statements are not historical
facts; they represent only expectations, estimates and projections
regarding future events and are subject to change.
Although iA Financial Group believes that the expectations
reflected in such forward-looking statements are reasonable, such
statements involve risks and uncertainties, and undue reliance
should not be placed on such statements. In addition, certain
material factors or assumptions are applied in making
forward-looking statements, and actual results may differ
materially from those expressed or implied in such statements.
Material factors and risks that could cause actual results to
differ materially from expectations include, but are not limited
to: insurance, market, credit, liquidity, strategic, operational
and regulatory risks, such as: general business and economic
conditions; level of inflation; level of competition and
consolidation; changes in laws and regulations, including tax laws
and changes made to capital and liquidity guidelines; actions by
regulatory authorities that may affect the business or operations
of iA Financial Group or its business partners; risks associated
with the regional or global political and social environment; risks
related to climate change including the transition to a low-carbon
economy and iA Financial Group's ability to satisfy stakeholder
expectations on environmental, social and governance issues; data
and cyber risks; risks related to human resources; hedging strategy
risks; liquidity of iA Financial Group, including the availability
of financing to meet existing financial commitments on their
expected maturity dates when required; accuracy of information
received from counterparties and the ability of counterparties to
meet their obligations; the occurrence of natural or man‑made
disasters, international conflicts, pandemic diseases (such as the
COVID-19 pandemic) and acts of terrorism.
Material factors and assumptions used in the preparation of
financial outlooks include, but are not limited to: accuracy of
estimates, assumptions and judgments under applicable accounting
policies, and no material change in accounting standards and
policies applicable to the Corporation; no material variation in
interest rates; no significant changes to the Corporation's
effective tax rate; no material changes in the level of the
Corporation's regulatory capital requirements; availability of
options for deployment of excess capital; credit experience,
mortality, morbidity, longevity and policyholder behaviour being in
line with actuarial experience studies; investment returns being in
line with the Corporation's expectations and consistent with
historical trends; different business growth rates per business
unit; no unexpected changes in the economic, competitive,
insurance, legal or regulatory environment or actions by regulatory
authorities that could have a material impact on the business or
operations of iA Financial Group or its business partners; no
unexpected change in the number of shares outstanding; and the
non-materialization of risks or other factors mentioned or
discussed elsewhere in this document or found in the "Risk
Management" section of the Corporation's Management's Discussion
and Analysis for 2022 and the "Risk Management – Update" section of
the Management's Discussion and Analysis for the periods ended
March 31, June
30 and September 30, 2023 that
could influence the Corporation's performance or results.
Economic and financial instability in a context of geopolitical
tensions – Unfavourable economic conditions and financial
instability are causing some concern. Central banks have hiked
interest rates to combat last year's high inflation. The war in
Ukraine, the Israel-Hamas conflict
and tension in China are also
causing instability in global markets. These events could result in
significant financial volatility and test the Corporation's ability
to anticipate and mitigate headwinds in its markets and negatively
affect the Corporation's financial outlook, results and
operations.
Additional information about the material factors that could
cause actual results to differ materially from expectations and
about material factors or assumptions applied in making
forward-looking statements may be found in the "Risk Management"
section of the Management's Discussion and Analysis for 2022, the
"Management of Risks Associated with Financial Instruments" note to
the audited consolidated financial statements for the year ended
December 31, 2022, the "Risk
Management – Update" section of the Management's Discussion and
Analysis for the periods ended March
31, June 30 and September 30, 2023 and elsewhere in iA Financial
Group's filings with the Canadian Securities Administrators, which
are available for review at sedarplus.ca.
The forward-looking statements in this document reflect iA
Financial Group's expectations as of the date of this document. iA
Financial Group does not undertake to update or release any
revisions to these forward-looking statements to reflect events or
circumstances after the date of this document or to reflect the
occurrence of unanticipated events, except as required by law.
About iA Financial Group
iA Financial Group is one of the largest insurance and wealth
management groups in Canada, with
operations in the United States.
Founded in 1892, it is one of Canada's largest public companies and is
listed on the Toronto Stock Exchange under the ticker symbols IAG
(common shares) and IAF (preferred shares).
iA Financial Group is a business name and trademark
of iA Financial Corporation
Inc. and Industrial Alliance Insurance and
Financial Services Inc.
SOURCE iA Financial Group