Company News

BUZZ-Manulife Financial Corp: Announces deals to unlock C$1 bln of capital

** Canadian insurer’s shares up 5.2 pct at C$21.8 after co announces three reinsurance transactions on its legacy businesses, hikes quarterly dividend by 14 pct

** Also announces intention to launch normal course issuer bid to acquire up to 40 mln of its common shares

** MFC expects the transactions to release over C$1 bln of capital in next 12 months, help progress towards its C$5 bln target by 2022

** While deals are expected to reduce ongoing earnings by C$20 mln quarter starting in Q4-18, in our view, the deployment of released capital will more than offset this reduction, over time - Barclays

** MFC stock has fallen about 17 pct YTD (Reporting by Arundhati Sarkar in Bengaluru)