Manulife Financial Corporation priced a $1 billion U.S. senior notes offering on December 2, 2025. The notes carry a 4.986% coupon and mature in 2035, giving the insurer a long‑term, fixed‑rate debt instrument that will be repaid from the company’s cash flow and existing debt portfolio.
The offering was underwritten by BofA Securities, Citigroup, J.P. Morgan and Morgan Stanley, underscoring strong market support for the transaction. The proceeds are earmarked for general corporate purposes, including potential refinancing of maturing debt and funding strategic initiatives across the company’s global franchise.
Manulife’s decision to issue senior notes aligns with its conservative capital strategy, which has kept the debt‑to‑equity ratio at 0.26 and the interest coverage ratio above 5.7. The new notes provide a stable, low‑cost source of capital that will help the insurer meet upcoming refinancing needs and support growth in key regions such as Asia, the U.S. (John Hancock) and Global Wealth & Asset Management. The issuance also reinforces liquidity, allowing the company to pursue opportunistic investments without disrupting its balance‑sheet profile.
Phil Witherington, Manulife’s President and CEO, highlighted the company’s focus on disciplined execution and a diversified global franchise. He noted that the new debt strengthens the firm’s ability to fund growth in India, the U.S. and Canada while maintaining a robust capital position. The notes’ long maturity and fixed coupon also reduce exposure to interest‑rate volatility, supporting the insurer’s asset‑liability matching strategy.
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