/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE
SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES./
TORONTO, Dec. 13, 2019 /CNW/ - First National
Financial Corporation (TSX: FN) (TSX: FN.PR.A) (TSX: FN.PR.B)
("First National" or the "Company") is pleased to announce the
closing of the previously announced secondary offering by a
shareholder controlled by Stephen
Smith, Co-Founder, Chairman and Chief Executive Officer and
by two shareholders controlled by Moray Tawse, Co-Founder and
Executive Vice President (each a "Selling Shareholder" and
together, the "Selling Shareholders"). The transaction consists of
a total of 1,259,240 common shares at a price of $42.40 per common share, for aggregate gross
proceeds to the Selling Shareholders of approximately $53.4 million (the "Secondary Offering"). The
Secondary Offering was completed on a bought deal basis by an
underwriting syndicate co-led by National Bank Financial Inc. and
TD Securities Inc., and also including BMO Nesbitt Burns Inc., CIBC
World Markets Inc., RBC Dominion Securities Inc., and Scotia
Capital Inc. (collectively, the "Underwriters"). The Secondary
Offering includes 79,240 common shares of First National which were
sold to the Underwriters by the Selling Shareholders upon partial
exercise of the over-allotment option that had been granted to the
Underwriters by the Selling Shareholders. The Company did not
receive any proceeds from the Secondary Offering and the net
proceeds were received by the Selling Shareholders.
Stephen Smith now beneficially
owns or controls 22,409,355 common shares of First National,
representing approximately 37.4% of the common shares outstanding,
and Moray Tawse now beneficially owns or controls 20,409,355 common
shares of First National, representing approximately 34.0% of the
common shares outstanding.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of the
securities in any state, province or other jurisdiction in which
such offer, solicitation or sale would be unlawful. The securities
have not been registered under the United States Securities Act of
1933, as amended, and may not be offered or sold in the United States absent registration or an
applicable exemption from the registration requirements.
About First National Financial Corporation
First National Financial Corporation (TSX:FN, TSX:FN.PR.A,
TSX:FN.PR.B) is the parent company of First National Financial LP,
a Canadian-based originator, underwriter and servicer of
predominantly prime residential (single-family and multi-unit) and
commercial mortgages. With over $110
billion in mortgages under administration, First National is
Canada's largest non-bank
originator and underwriter of mortgages and is among the top three
in market share in the mortgage broker distribution
channel. For more information, please visit
www.firstnational.ca.
Caution Concerning Forward-Looking Statements
Certain statements in this press release about current and
future plans, expectations and intentions, or any other future
events or developments constitute forward-looking statements. The
words "will", "expects", "plans", "intends", "estimates" or
"potential" or the negative or other variations of these words or
other comparable words or phrases, are intended to identify
forward-looking statements. Forward-looking statements are based on
assumptions made by First National in light of its experience and
perception of historical trends, current conditions and expected
future developments, as well as other factors that are believed to
be appropriate and reasonable in the circumstances, but there can
be no assurance that such estimates and assumptions will prove to
be correct. Many factors could cause future events or developments
to differ materially from those expressed or implied by the
forward-looking statements, including, without limitation, general
economic and market conditions and adverse economic
conditions.
The purpose of the forward-looking statements is to provide
the reader with a description of management's expectations and may
not be appropriate for other purposes; readers should not place
undue reliance on forward-looking statements made herein.
Furthermore, unless otherwise stated, the forward-looking
statements contained in this press release are made as of the date
hereof, and we have no intention and undertake no obligation to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise, except as
required by law. The forward-looking statements contained in this
press release are expressly qualified by this cautionary
statement.
SOURCE First National Financial Corporation