Unique Trilon Financial Offering

Trilon Financial Corporation (Trilon) has set up a special purpose company, Diversified Canadian Financial Corp. (Diversified), to become the first issuer to offer split shares backed by an underlying portfolio of preferred shares. Diversified intends to raise up to $150 million from the public, and another $112 million from a private investor, and use the proceeds to buy preferred shares issued by companies in the Brascan Corporation group of companies. The dividends from those shares will pay the investors a fixed quarterly dividend.

Torys is acting for Trilon with a team that includes Ed Nordholm, Karrin Powys-Lybbe, Amanda Chester, Sarah Lerchs and Jim Welkoff. McCarthy Tétrault is acting for the underwriter Scotia Capital with a team of lawyers that is led by Ronald Schwass and that includes Philip Kurtz (securities) and James Morand (tax).