Financing Expense Reduction – PCC and PFC intend to redeem an aggregate of $350 million of First Preferred Shares with available cash, resulting in reduced annual financing costs of approximately $15 million per year. Investments in publicly traded companies are valued at their market value, measured as the closing share price on the reporting date; Investments in private entities are valued at fair value based on management’s estimate using consistently applied valuation models either based on a valuation multiple or discounted cash flows. I am excited to be a part of this new chapter of PCC's storied history. Upon completion of the Reorganization, PCC will own all of the PFC Common Shares, while PFC preferred shares and debt securities will remain outstanding. Certain statements in this news release, other than statements of historical fact, are forward-looking statements based on certain assumptions and reflect PCC's and PFC's current expectations with respect to disclosure regarding PCC and PFC, respectively.
All rights reserved. Purchases under the NCIB, if accepted, will be conducted in the open market or as otherwise permitted, subject to the terms and limitations to be applicable to such NCIB, and will be made through the facilities of the TSX or any alternative trading system in Canada. Certain statements in this news release, other than statements of historical fact, are forward-looking statements based on certain assumptions and reflect PCC's and PFC's current expectations. The companies have said that the reorganization is expected to benefit shareholders with a simplified corporate structure, a reduction in expenses and increased liquidity for the shares. Power Corporation's head office is located at 751 Victoria Square, Montréal, Québec. At December 31, 2019, the fair value of Parjointco based on the market value of GBL was $3,032 million. Following the event, an archived version of the webcast and supporting materials will be available on the same websites. Power Financial, a wholly owned subsidiary of Power Corporation of Canada, is an international management and holding company with interests in financial services and asset management businesses in Canada, the United States and Europe. As of the date hereof, PCC beneficially owns 425,402,926 PFC Common Shares representing approximately 64% of the issued and outstanding PFC Common Shares. Net asset value is the fair value of Power Financial’s non-consolidated assets less its net debt and preferred shares. Net Asset Value is a non-IFRS measure prepared by each of PFC and PCC that is used to assist in assessing value, representing an estimate of the total assets less the total liabilities of each respective company, expressed on a per share basis. (4) In accordance with IAS 12 Income taxes, no deferred tax liability is recognized with respect to temporary differences associated with investments in subsidiaries and jointly controlled corporations as the Corporation is able to control the timing of the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future. It will also be made available on PCC's website at www.powercorporation.com/en/investors/reorganization/ and on PCC's SEDAR profile at www.sedar.com in the coming days. permissions/licensing, please go to: www.TorontoStarReprints.com. Star Newspapers Limited and/or its licensors.
See Non-IFRS Financial Measures and Presentation below.
A variety of factors, many of which are beyond PCC's and PFC's control, affect the operations, performance and results of PCC and PFC and their respective subsidiaries and business, and could cause actual results to differ materially from current expectations of estimated or anticipated events or results.
After 24 years as Co-Chief Executive Officers of PCC, Paul Desmarais, Jr. and André Desmarais are retiring from these roles. The reader is cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements.