5Banc Split Inc.
TSX : FBS.A
TSX : FBS.pr.A

5Banc Split Inc.

November 27, 2006 22:04 ET

5Banc Split Inc Announces Exchange Ratios and New President and Chief Executive Officer

TORONTO, ONTARIO--(CCNMatthews - Nov. 27, 2006) - 5Banc Split Inc. (the "Company")(TSX:FBS.A)(TSX:FBS.PR.A) is pleased to announce the exchange ratios for the Company's exchange option (the "Exchange Option") with respect to its offerings (the "Offerings") of class B capital shares (the "Capital Shares") and class B preferred shares (the "Preferred Shares"). Under the Exchange Option, prospective purchasers could exchange common shares of Bank of Montreal, Royal Bank of Canada, The Bank of Nova Scotia, The Toronto-Dominion Bank and Canadian Imperial Bank of Commerce ("Exchanged Portfolio Shares") for Capital Shares.

The number of Capital Shares issuable in exchange for each Exchanged Portfolio Share (the "Exchange Ratio") deposited by a prospective purchaser pursuant to the Exchange Option was determined by dividing (i) the volume-weighted average trading price of the Exchanged Portfolio Shares on the Toronto Stock Exchange during the three consecutive trading days ending on November 24, 2006, adjusted to reflect dividends declared on such Exchanged Portfolio Shares that will not be received by the Company, by (ii) $10.00 (being the issue price per Capital Share). The Exchange Option expired at 5:00 p.m. (Toronto time) on November 24, 2006. Fractional Capital Shares will not be issued.

The Exchange Ratios were adjusted to reflect the $0.01 per Capital Share to be received by prospective purchasers. Accordingly, prospective purchasers will receive one Capital Share and $0.01 in cash for the following number of Exchanged Portfolio Shares:



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Bank of Montreal 0.1398
- Common Shares (TSX:BMO)
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Royal Bank of Canada 0.1840
- Common Shares (TSX:RY)
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The Bank of Nova Scotia 0.1904
- Common Shares (TSX:BNS)
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The Toronto-Dominion Bank 0.1477
- Common Shares (TSX:TD)
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Canadian Imperial Bank of Commerce 0.1084
- Common Shares (TSX:CM)
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The Company also announced today that Mr. Hamid Omoumi has tendered his resignation as President, Chief Executive Officer and a director of the Company and that Mr. Cameron Goodnough will succeed him in the role of President and Chief Executive Officer. Mr. Goodnough is a Vice President and Director of TD Securities Inc.

5Banc Split Inc. was established to generate dividend income for holders of preferred shares while providing holders of capital shares with a leveraged opportunity to participate in capital appreciation from a portfolio of common shares of Bank of Montreal, Royal Bank of Canada, The Bank of Nova Scotia, The Toronto-Dominion Bank and Canadian Imperial Bank of Commerce.

Contact Information

  • 5Banc Split Inc.
    Nikita Tziavas
    Chief Financial Officer and Secretary
    (416) 982-2865