TORONTO, May 28 (Reuters) - The Bank of Nova Scotia said on Wednesday it plans to sell the majority of its 37 percent stake in asset manager CI Financial via a secondary offering that could raise as much as C$2.62 billion ($2.4 billion).
The offering, which would be one of the largest in Canadian history, will see Scotiabank sell about 72 million CI shares via a set price at C$31.60 a share that will raise roughly C$2.28 billion.
The syndicate of underwriters, led by Scotia Capital, RBC Capital Markets and GMP Securities LP also have an option to buy an additional 10.8 million shares within 30 days of closing to cover for over-allotments. That means the deal could raise over C$2.6 billion for Scotiabank.
Earlier this month Scotiabank, CI's largest shareholder, said it planned to explore options to divest itself of some or all of stake in CI Financial and redeploy the capital elsewhere.
$1 = 1.0864 Canadian Dollars Reporting by Euan Rocha; Editing by Diane Craft