Manulife amends its normal course issuer bid to repurchase for cancellation up to an additional 40 million of its common shares

Manulife amends its normal course issuer bid to repurchase for cancellation up to an additional 40 million of its common shares

CAD, unless otherwise noted TSX/NYSE/PSE: MFC SEHK: 945

TORONTO, May 7, 2024 /PRNewswire/ – Manulife Financial Corporation (“Manulife”) announced today that the Toronto Stock Exchange (“TSX”) has approved Manulife’s amended normal course issuer bid (“NCIB”) . As previously announced, the purpose of the amendment is to increase the number of common shares that Manulife can repurchase from a maximum of 50 million (approximately 2.8% of outstanding shares) to a maximum of 90 million (approximately 5% of shares outstanding as of February 12, 2024). The amendment comes into force from May 13, 2024. The Office of the Superintendent of Financial Institutions previously approved the amended OPRCNA. Since the start of its current public buyback offer on February 23, 2024 has May 3, 2024Manulife has completed the repurchase for cancellation of 12,390,400 common shares at a volume weighted average repurchase price per common share of $32.55. Under the NCIB, Manulife may purchase up to 1,521,140 of its common shares on the TSX on any trading day, representing 25% of the average daily trading volume of 6,084,560 common shares on the TSX for the six months ended January 31, 2024, subject to the rules of the TSX allowing bulk purchases.

Maintaining an issuer bid will give Manulife the flexibility to purchase common shares as part of its capital management strategy designed to maintain healthy regulatory capital ratios while balancing the objective of generating value for shareholders. Additionally, Manulife intends to repurchase shares to mitigate the impact on diluted earnings per share and basic earnings per share from previously announced reinsurance transactions, one of which was closed in February 2024 and the second of which ended in April 2024. The actual number of Common Shares purchased, the timing of such purchases and the price at which Common Shares are purchased will be determined by Manulife.

Manulife’s normal course issuer bid commenced on February 23, 2024 and will continue until February 22, 2025, upon expiration of the Tender Offer or an earlier date on which Manulife finalizes its repurchases. Purchases under the NCIB may be made through the facilities of the TSX, the New York Stock Exchange and alternative trading systems in the United States. Canada And United States at market prices in effect at the time of purchase or at any other authorized price. All common shares acquired by Manulife in the NCIB will be cancelled. Redemptions will be subject to compliance with applicable Canadian securities laws and UNITED STATES federal securities laws.

In addition, Manulife may repurchase its common shares outside of Canada And United States in compliance with applicable laws. Subject to regulatory approval, Manulife may also acquire Common Shares directly from other holders by private agreement in accordance with takeover bid exemption orders issued by applicable securities authorities. Any private purchase made pursuant to an exemptive order issued by a securities regulatory authority will generally be made at a price lower than the prevailing market price. Manulife may also enter into derivative programs to support its repurchase activities, including the sale of put options and forward call contracts, accelerated share repurchase transactions, other equity contracts or use of other methods of acquiring shares, in each case subject to regulatory approval. and on such terms and at such times as are permitted by applicable securities laws. The total number of common shares repurchased under the NCIB and all other potential arrangements will not exceed 90 million common shares.

Manulife has already entered into an automatic share repurchase program pursuant to which its designated broker will repurchase Manulife common shares pursuant to the NCIB, and the automatic plan, as amended to reflect the aforementioned share increase, will continue to apply to the amended tender offer. The actual number of shares of common stock purchased under the automatic plan, the timing of such purchases and the price at which shares of common stock are purchased will depend on future market conditions. The automatic plan, which has been previously authorized by the TSX, provides for the potential repurchase of common shares at any time, including when Manulife would not normally be active in the market due to its own internal trading blackout periods, of its rules regarding insider trading or otherwise.

Caution Regarding Forward-Looking Statements

This document contains forward-looking statements within the meaning of the safe harbor provisions of Canadian provincial securities laws and the United States Private Securities Litigation Reform Act of 1995 with respect to possible future purchases by Manulife of its common shares. Although we believe that the expectations reflected in these forward-looking statements are reasonable, these statements involve risks and uncertainties and undue reliance should not be placed on them. Certain important factors or assumptions are applied in forward-looking statements, and actual results may differ materially from those expressed or implied in such statements. Important factors that could cause actual common share repurchases to differ materially from expectations include, but are not limited to, the fact that the amount and timing of any future common share repurchases will depend on earnings, Manulife’s cash flow needs and financial condition, market conditions, capital requirements (including under the LICAT capital standards), common share issuance requirements, laws and applicable regulations (including Canadian and United States securities laws and Canadian insurance company regulations) and other factors deemed relevant by Manulife, and may be subject to the approval or conditions of the regulatory authorities. .

Additional information on important risk factors that could cause actual results to differ materially from expectations can be found in our most recent annual and interim reports and elsewhere in our filings with Canadian securities regulators and the United States.

The forward-looking statements contained herein are, unless otherwise indicated, made as of the date hereof. We undertake no obligation to update any forward-looking statements, except as required by law.

About Manulife

Manulife Financial Corporation is a leading international financial services provider that helps people make easier decisions and improve their lives. With our global headquarters in Toronto, Canadawe provide financial advice and insurance, under the Manulife name around the world. Canada, AsiaAnd Europeand mainly as John Hancock In United States. Through Manulife Investment Management, the global brand for our Global Wealth and Asset Management business, we serve individuals, institutions and retirement plan participants around the world. At the end of 2023, we had more than 38,000 employees, more than 98,000 agents and thousands of channel partners, serving more than 35 million customers. We trade under the name “MFC” on the Toronto, new Yorkand Philippine Stock Exchanges, and under “945” in Hong Kong.

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SOURCE Manulife Financial Corporation