Insurance Firm Definity Financial Readies C$1 Billion Debt Sale
Definity Financial Corp. plans to sell around C$1 billion ($723 million) of debt in two parts as it prepares to close the acquisition of Travelers Canada, according to people familiar with the matter.
The senior notes will be sold in five- and 10-year tranches, the people said, asking not to be identified discussing private details. The five-year tranche will likely price about 0.95 to 1.05 percentage point above the government benchmarks, they added. The 10-year portion is expected to price in the 1.15 to 1.25 percentage point range. The deal is expected to come to market on Wednesday, the people said.
A representative for the company didn’t immediately respond to a request for comment.
The firm, which owns insurance brands and companies in Canada, is talking to investors this week about the potential issuance, Bloomberg reported previously. RBC Capital Markets and TD Securities are leading the sale.
In May, Definity agreed to pay $2.4 billion for the personal insurance business and the majority of the commercial insurance business of Travelers Canada. The deal is expected to close in the first quarter of 2026.
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