Lifeco warns shareholders of unsolicited mini-tender offer by Okello Ltd

Great-West Lifeco has been alerted to an unsolicited mini-tender offer by Okello Ltd., targeting Irish residents, to purchase up to 50,000 common shares of Lifeco at a significant discount of approximately 39% to the closing price on the TSX as of July 29, 2024. Notably, these shares do not trade on a recognized stock exchange in Ireland.

Lifeco disapproves of Okello’s offer, emphasizing that it has no ties to Okello and does not recommend shareholders accept the offer, which is priced below market value. Mini-tender offers like Okello’s are typically for less than 5% of a class of outstanding shares, allowing them to bypass many investor protections required under Canadian law. Regulators have raised concerns about these offers, as investors might unknowingly sell their shares at a discount.

Lifeco advises shareholders to check current market prices and consult their financial advisors before considering Okello’s offer, which imposes strict terms, including irrevocable tenders and no partial tenders. Okello may also purchase additional shares, up to 2% of the outstanding common shares.

For more information on the risks associated with mini-tender offers, shareholders can refer to the Canadian Securities Administrators’ comments here.

Lifeco requests that this news release be included in any materials distributed regarding Okello’s mini-tender offer.

Great-West Lifeco is a Canadian headquartered, international financial services holding company with interests in life insurance, health insurance, retirement and investment services, asset management and reinsurance businesses.