(September 16 – 13:00 ET) Quebec-
based Industrial-Alliance Life
Insurance Co. is moving ahead
with its demutualization plans.
The firm intends to issue about
35 million shares, with a market
capitalization of between $510
million and $765 million, as it
converts to publicly traded
status.

Industrial-Alliance says
shareholders should receive
between about $14.55 and $21.85 a
share on demutualization, based
on a valuation made in mid-August.

The company expects the IPO to
take place before the end of the
first quarter of next year.

Unlike other demutualizing life
insurance companies, which are
under federal jurisdiction,
Industrial-Alliance is incorporated
under Quebec charter. The other
insurers are generally only giving
shares, cash or a combination
to “participating” policyholders.
Industrial-Alliance will be
distributing proceeds to all its
policyholders and those with a
contract at the insurer in force on
April 30, 1999. It includes those
in group policies and investors
owning segregated funds.

-IE Staff