BCE Announces Significant Conversions of Preferred Shares: Series AG to AH

BCE Inc. Reports Preferred Share Conversions

BCE Inc. (TSX: BCE) (NYSE: BCE) has recently shared troubling but significant news concerning its Series AG and AH preferred shares. On April 21, 2026, the company disclosed that there will be substantial conversions between these two preferred shares on May 1, 2026.

Of the 8,032,285 fixed-rate Cumulative Redeemable First Preferred Shares of Series AG, a total of 121,070 shares have been designated for conversion into floating-rate Cumulative Redeemable First Preferred Shares of Series AH. This move reflects ongoing adjustments within the preferred share segments to better align with market conditions.

In a parallel operation, BCE reported that 1,464,469 shares of its Series AH will convert back into Series AG shares. Consequently, when this conversion takes effect, BCE will possess a total of 9,375,684 Series AG Preferred Shares and 2,832,114 Series AH Preferred Shares that remain outstanding. Both classes of shares will maintain their listings on the Toronto Stock Exchange under the respective symbols BCE.PR.G and BCE.PR.H.

The implications of these conversions are significant as they affect the structure of advantages available to shareholders. For Series AG, this preferred share class will provide fixed dividends, offering stability through quarterly payments at an annual fixed dividend rate of 5.30% for five years, starting from May 1, 2026. This offers investors a reliable income stream, which is particularly appealing in uncertain market climates.

On the other hand, the Series AH Preferred Shares will feature a variable dividend structure—paying a floating adjustable cash dividend that fluctuates monthly, directly tied to the prevailing prime rate and an adjustment factor, as specified by the BCE Board. This system aims to provide investors some potential for dividend increases, depending on market performance. However, the unpredictability of the floating rate makes it less stable compared to the fixed-rate offerings of Series AG.

Dividends on each series will be declared by BCE’s Board of Directors, highlighting the company’s commitment to transparently managing its dividend policies in alignment with the broader economic landscape.

This announcement underscores BCE’s strategic maneuvers to optimize its investment offerings while continuing to generate income for shareholders. Investors and analysts alike will be monitoring these changes closely, as such actions can hint at larger trends and operational strategies moving forward.

About BCE Inc.
BCE Inc. stands as Canada's preeminent communications entity, pioneering advancements in fibre optics and wireless technologies. Focusing on delivering cutting-edge digital media and enterprise services, BCE positions itself as a leader not just in technology but in shaping how Canadians engage with information and entertainment. With a comprehensive suite of cloud-based and AI-driven solutions, BCE empowers businesses and consumers to thrive in an increasingly interconnected world. For more information, visit Bell.ca or BCE.ca.

In conclusion, as May 1 approaches, stakeholders and market observers will undoubtedly keep an eye on BCE, keen to understand how these preferred share conversions play out in the real market and impact dividend payouts in the near future.