It is a Plan that enables Equitable Group Inc. common shareholders to purchase Equitable Group Inc. Common Shares through the reinvestment of dividends in a convenient manner. Common Shares acquired under the Plan will be automatically enrolled in the Plan.
Dividends reinvested in Equitable Group Inc. Common Shares will be done at the Average Market Price less a discount from 0% to 5%. The discount is established by Equitable Group Inc. from time to time, and applies only to newly issued Equitable Group Inc. Common Shares.
Registered Participants, meaning Participants that hold certificates for Common Shares of Equitable Group Inc. in their own name, can reinvest dividends by completing the Enrolment Form enclosed with the Offering Circular and mailing it to The Computershare Trust Company of Canada (“Plan Agent”).
Some intermediaries may require beneficial holders of Equitable Group Inc. Common Shares to become registered holders of such shares in order to participate in the Plan. There may be a fee charged by some intermediaries for non-registered holders to become registered holders of Equitable Group Inc. Common Shares, which will not be paid for by Equitable Group Inc. or the Plan Agent. U.S. resident non-registered holders who hold their Common Shares through an intermediary will be required to have such shares transferred into their own name or into a specific segregated registered account, such as a numbered account, with an intermediary, with the concurrence of such intermediary, in order to become a Participant in the Plan.
Only Canadian residents can participate in the Plan at this time.
The Plan offers eligible Shareholders the opportunity, at their option, to reinvest Dividends payable in respect of their Common Shares by purchasing additional Common Shares directly from Equitable Group Inc. at a discount from the Average Market Price on the applicable Dividend Payment Date. The Average Market Price is the volume weighted average trading price of Common Shares on the TSX for 5 trading days immediately following the Dividend Payment Date. Equitable Group Inc. will announce by way of news release and in dividend announcements whether common shares purchased.
No commissions, service charges or brokerage fees are payable by participants in connection with the purchase of Common Shares from treasury under the Plan. All administrative costs of the Plan will be paid by Equitable Group Inc. Computershare Trust Company of Canada acts as Plan Agent under the Plan for and on behalf of Participants. All funds received by the Plan Agent under the Plan will be applied to the purchase of Common Shares directly for Equitable Group Inc. on behalf of participants. In no event will interest be paid to Participants on any funds held for reinvestment under the Plan.
Registered Participants may indicate on the Enrolment Form the percentage of their Common Shares they would like to have enrolled in dividend reinvestment. Beneficial owners of Common shares registered in the name of CDS or a Nominee may not directly enroll in the Plan.
Where an eligible beneficial owner of Common Shares wishes to enroll in the Plan, through a CDS Participant in respect of Common Shares registered in the name of CDS, appropriate instructions must be received by CDS from the applicable CDS participant no later than such deadline preceding a Dividend Record Dates as CDS may set from time to time in order to take effect on the Dividend payment Date to which the Dividend Record Date relates.
Eligible beneficial owners of Common Shares should contact their Nominee who holds their Common Shares to provide instructions regarding their participation in the Plan.
A Participant may voluntarily terminate their participation in the Plan by completing and sending to the Plan Agent, the termination portion of the voucher that is located on the reverse side of the statement of account that is mailed to the Participant.
Generally, the termination will be processed within three weeks of the receipt by the Plan Agent. No termination request will be processed between the Dividend Record Date and the end of the investment period pursuant to the Plan, which is typically the Dividend Payment Date or shortly thereafter.
The plan allows for both full and partial terminations.
Registered Participants may withdraw a portion of their Common Shares from dividend reinvestment by notifying the Plan Agent, in writing, of their intention to withdraw a portion of their shares from dividend reinvestment.
A certificate for the number of whole Common Shares held by the Plan Agent under the Plan for the account of the Participant will be issued to, and in the name of the Participant, together with a cheque for the value of any remaining fraction of a Common Share held for the account of the Participant. Any fraction of a Common Share held for the account of the Participant will be cancelled in exchange for such cash payment. A duplicate statement of account containing the termination and withdrawal vouchers may be obtained from the Plan Agent.
Any fraction of a Common Share held for the account of the Participant will be cancelled in exchange for a cash payment.
Participation in the Plan by the Participant will be terminated automatically if the Participant ceases to be a Canadian resident for the purposes of the Income Tax Act (Canada), as mended from time to time and the Participant must deliver written notice to the Plan Agent stating such an event. A certificate for the number of whole Common Shares held by the Plan Agent 7under the Plan for the account of the Participant will be issued in the name of the Participant, together with a cheque for the value of any remaining fraction of a Common Share held for the account.
To the extent that a Participant ceases to be a resident of Canada, Dividends will be subject to applicable non-resident withholding tax.