Sun Life Financial Inc. Announces Renewal of its Normal Course Issuer Bid

Sun Life Financial Inc. announced that the Office of the Superintendent of Financial Institutions and the Toronto Stock Exchange have approved the renewal of the company’s previously announced normal course issuer bid (NCIB) to purchase up to 15,000,000 of its common shares (representing approximately 2.6% of the 577,567,842 common shares issued and outstanding as of August 20, 2024).

The NCIB will provide the Company with the flexibility to acquire common shares in order to return capital to shareholders as part of its overall capital management strategy.

The NCIB will commence on August 29, 2024 and continue until August 28, 2025, such earlier date as the Company may determine, or such date as the Company completes its purchases of common shares pursuant to the NCIB. The average daily trading volume on the TSX for the six months ending July 31, 2024 was 2,108,275 common shares (the “ADTV”). In accordance with the TSX rules, the Company may purchase up to 527,068of its common shares on the TSX during any trading day, which represents 25% of the ADTV, subject to the TSX rules permitting block purchases.

Purchases under the NCIB may be made through the facilities of the TSX, other Canadian stock exchanges and/or alternative Canadian trading platforms, at prevailing market rates. Subject to regulatory approval, purchases under the NCIB may also be made by way of private agreements or share repurchase programs under issuer bid exemption orders issued by securities regulatory authorities. Any purchases made under an exemption order issued by a securities regulatory authority will generally be at a discount to the prevailing market price. The actual number of common shares purchased under the NCIB, and the timing of such purchases (if any), will be determined by the Company. Any common shares purchased by the Company pursuant to the NCIB will be cancelled or used in connection with certain equity settled incentive arrangements.

The Company has established an automatic repurchase plan with its designated broker in order to facilitate purchases of common shares under the NCIB. Under the automatic repurchase plan, the Company’s designated broker may purchase common shares pursuant to the NCIB at times when the Company ordinarily would not be active in the market due to its own internal trading blackout periods, insider trading rules or otherwise. Purchases made pursuant to the automatic repurchase plan, if any, will be made by the Company’s designated broker based upon the parameters prescribed by the TSX, applicable Canadian securities laws and the terms of the written agreement between the Company and its designated broker. The automatic repurchase plan constitutes an “automatic plan” for purposes of applicable Canadian securities legislation and has been pre-cleared by the TSX.

Under its prior normal course issuer bid (the “Prior NCIB”), which commenced on August 29, 2023 and expires on August 28, 2024, the Company sought and received approval from the TSX to purchase up to 17,000,000 common shares. As of August 20, 2024, the Company had purchased 10,300,710 common shares under the Prior NCIB at a weighted average price of $69.40 per common share through the facilities of the TSX, other Canadian stock exchanges and/or alternative Canadian trading platforms.

Sun Life is a leading international financial services organization providing asset management, wealth, and insurance and health solutions to individual and institutional Clients. Sun Life has operations in a number of markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia and Bermuda. As of June 30, 2024, Sun Life had total assets under management of $1.46trillion.