Bank of Nova Scotia today announced that it has completed the domestic offering of 12 million, non-cumulative five-year rate reset preferred shares Series 22 at a price of $25 per share. The gross proceeds of the offering were $300 million.

The offering was made through a syndicate of investment dealers led by Scotia Capital Inc. The Preferred Shares Series 22 commence trading on the Toronto Stock Exchange today under the symbol BNS.PR.R.

Holders of Preferred Shares Series 22 will be entitled to receive a non-cumulative quarterly fixed dividend for the initial period ending Jan. 25, 2014 of 5% per year, as and when declared by the board of directors of Scotiabank. Thereafter, the dividend rate will reset every five years at a rate equal to 1.88% over the five-year Government of Canada bond yield. Shareholders will, subject to certain conditions, have the option to convert all or any part of their shares to non-cumulative floating rate preferred shares Series 23 of Scotiabank.

Holders of the Preferred Shares Series 23 will be entitled to receive a non-cumulative quarterly floating dividend equal to the three-month Government of Canada Treasury Bill yield plus 1.88%, as and when declared by the Scotiabank board of directors.