TORONTO, April 1, 2014 /CNW/ - Genworth MI Canada Inc. (the "Company") (TSX: MIC) announced today that it will redeem in full the 4.59% debentures (the "Debentures") of the Company due December 15, 2015.The Company has given a notice to the registered holder of the Debentures that it will redeem on May 1, 2014 (the "Redemption Date"), the full $150 million principal amount outstanding of the Debentures.
Pursuant to the terms of the trust indenture governing the Debentures, the Debentures will be redeemed on the Redemption Date at a price equal to the greater of the Canada Yield Price and par, together in each case with accrued and unpaid interest to the Redemption Date.
The Canada Yield Price with respect to any redemption date, means a price which , would provide a yield from the Redemption Date to December 15, 2015 equal to the Government of Canada market yield, plus 52 basis points (0.52%), compounded semi-annually.
About Genworth MI Canada Inc.Genworth MI Canada Inc. (TSX: MIC) through its subsidiary, Genworth Financial Mortgage Insurance Company Canada (Genworth Canada), is the largest private residential mortgage insurer in Canada. The Company provides mortgage default insurance to Canadian residential mortgage lenders, making homeownership more accessible to first-time homebuyers. Genworth Canada differentiates itself through customer service excellence, innovative processing technology, and a robust risk management framework. For almost two decades, Genworth Canada has supported the housing market by providing thought leadership and a focus on the safety and soundness of the mortgage finance system. As at December 31, 2013, Genworth Canada, had $5.6 billion total assets and $3.0 billion shareholders' equity. Find out more at www.genworth.ca. Cautionary Note Regarding Forward-Looking Statements This press release includes certain forward-looking statements. These forward-looking statements include, but are not limited to, the Company's plans, objectives, expectations and intentions, including the Company's expectations regarding the Company's intention to redeem the Debentures and other statements contained in this release that are not historical facts. These statements may be identified by their use of words such as "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "seek", "propose", "estimate", "expect", or similar expressions, as they relate to the Company are intended to identify forward-looking statements. These statements are inherently subject to significant risks, uncertainties and changes in circumstances, many of which are beyond the Company's control. The Company's actual results may differ materially from those expressed or implied by such forward-looking statements, including as a result of changes in global, political, economic, business, competitive, market and regulatory factors, and the other risks described in the Company's Annual Information Form dated March 17, 2014. Other than as required by applicable laws, the Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.