Date Closed

December 12, 2008

Lead Office

Toronto

Value

2.30 Billion CAD

On December 12, 2008, The Bank of Nova Scotia (Scotiabank) announced that it had completed its purchase of Sun Life Financial Inc.’s ownership stake in CI Financial Income Fund (CI). CI is Canada’s number three mutual fund company by assets under management. Scotiabank purchases, directly and indirectly, a total of 104,609,895 trust units of CI from Sun Life Financial Inc. (Sun Life) for approximately $2.3 billion, representing Sun Life’s entire 37 per cent ownership stake in CI. The purchase price was satisfied through the issuance of $500 million of common shares of Scotiabank and $250 million of 6.25% 5-year rate reset preferred shares of Scotiabank, with the balance in cash.

Scotiabank was assisted by McCarthy Tétrault LLP with a team led by Jonathan Grant (capital markets/M&A) that included Garth Girvan, Robert Hansen, Ian Michael and Leila Rafi (capital markets/M&A); Sean Sadler and Michael Nicholas (securities regulation and investment products); Glen MacArthur (competition); Gabrielle Richards and Gwen Watson (tax) and Barry Ryan and Corrie Stepan (financial services).