WATERLOO, ON, April 4, 2024 /CNW/ - Definity Financial Corporation ("Definity") (TSX: DFY) today announced that its board of directors (the "Board") has approved the adoption of a shareholder rights plan (the "Rights Plan") pursuant to a shareholder rights plan agreement entered into with Computershare Investor Services Inc., as rights agent, dated April 4, 2024 (the "Effective Date"). The Rights Plan is substantially similar to strategic shareholder rights plans in place at other Canadian public companies.
While the Rights Plan is effective as of the Effective Date, it is subject to ratification and approval by Definity's shareholders within six months of the Effective Date. The Board is recommending the ratification and approval of the Rights Plan at Definity's annual and special meeting of shareholders on May 17, 2024 (the "Meeting").
A summary of the principal terms of the Rights Plan is included in the management information circular being sent to shareholders in connection with the Meeting and a complete copy of the Rights Plan is available under Definity's profile on SEDAR+ at www.sedarplus.ca. If the Rights Plan is not ratified and approved by shareholders within six months of its adoption, it, together with the outstanding rights, will terminate and cease to be effective.
Definity Financial Corporation ("Definity", which includes its subsidiaries where the context so requires) is one of the leading property and casualty insurers in Canada, with over $4.0 billion in gross written premiums in 2023 and over $2.8 billion in equity attributable to common shareholders as at December 31, 2023.
This news release contains forward-looking information within the meaning of applicable securities laws, including, without limitation, statements related to obtaining shareholder approval for the ratification and confirmation of the Rights Plan and the protections afforded by the Rights Plan. The words "may", "will", "would", "should", "could", "expects", "plans", "intends", "trends", "indications", "anticipates", "believes", "estimates", "predicts", "likely", "potential" or the negative or other variations of these words or other similar or comparable words or phrases, are intended to identify forward-looking statements. This information reflects Definity's current expectations regarding future events, including that Definity will obtain shareholder approval for the ratification of the Rights Plan. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Definity's control, including that there are no significant legal developments adversely impacting shareholder rights plans generally. Such risks and uncertainties are included in the "Cautionary Note Regarding Forward-looking Information" section of Definity's Q4-2023 Management's Discussion and Analysis dated February 15, 2024 and the "Risk Management and Corporate Governance" section of Definity's Management's Discussion and Analysis for the year ended December 31, 2023, each of which is available on our web site at www.definity.com or on SEDAR+ at www.sedarplus.ca. Due to these risks and uncertainties, actual results could differ materially from those projected herein. Unless otherwise indicated, all forward-looking statements in this press release are made as of the Effective Date and are subject to change after that date. Definity does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required under applicable securities laws.
SOURCE Definity Financial Corporation
Investor inquiries: Dennis Westfall, Head, Investor Relations, (C) 416-435-5568, [email protected]; Media inquiries: Sarah Attwells, AVP, Corporate Affairs, (C) 226-753-1130, [email protected]
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