TransAlta Renews Normal Course Issuer Bid
May 27 2024 - 6:15PM
TransAlta Corporation (“TransAlta” or the “Company”) (TSX: TA)
(NYSE: TAC) announced today that the Toronto Stock Exchange (“TSX”)
has accepted the notice filed by the Company to implement a normal
course issuer bid (“NCIB”) for a portion of its common shares
(“Common Shares”).
Pursuant to the NCIB, TransAlta may repurchase
up to a maximum of 14,000,000 Common Shares, representing
approximately 4.6% of the 303,256,652 Common Shares issued and
outstanding as at May 27, 2024. Purchases under the NCIB may be
made through open market transactions on the TSX and any
alternative Canadian trading systems on which the Common Shares are
traded, based on the prevailing market price. Any Common Shares
purchased under the NCIB will be cancelled.
Transactions under the NCIB will depend on
future market conditions. TransAlta will initially retain
discretion whether to make purchases under the NCIB, and to
determine the timing, amount and acceptable price of any such
purchases, subject at all times to applicable TSX and other
regulatory requirements. The period during which TransAlta is
authorized to make purchases under the NCIB commences on May 31,
2024, and ends on May 30, 2025, or such earlier date on which the
maximum number of Common Shares are purchased under the NCIB or the
NCIB is terminated at the Company’s election.
Under TSX rules, not more than 211,262 Common
Shares (being 25% of the average daily trading volume on the TSX of
845,049 Common Shares for the six months ended April 30, 2024) can
be purchased on the TSX on any single trading day under the NCIB,
with the exception that one block purchase in excess of the daily
maximum is permitted per calendar week.
TransAlta has repurchased and cancelled
8,561,800 Common Shares on the open market through the facilities
of the TSX and/or alternative Canadian trading systems at an
average price of $9.50 per share under its prior NCIB approved by
the TSX on May 26, 2023, for the twelve-month period commencing May
31, 2023.
The NCIB provides the Company with a capital
allocation alternative with a view to long-term shareholder value.
TransAlta’s Board of Directors and Management believe that, from
time to time, the market price of the Common Shares does not
reflect their underlying value and purchases of Common Shares for
cancellation under the NCIB may provide an opportunity to enhance
shareholder value.
About TransAlta
Corporation:TransAlta owns, operates and develops a
diverse fleet of electrical power generation assets in Canada, the
United States and Australia with a focus on long-term shareholder
value. TransAlta provides municipalities, medium and large
industries, businesses and utility customers with clean,
affordable, energy efficient and reliable power. Today, TransAlta
is one of Canada’s largest producers of wind power and Alberta’s
largest producer of hydro-electric power. For over 112 years,
TransAlta has been a responsible operator and a proud member of the
communities where we operate and where our employees work and live.
TransAlta aligns its corporate goals with the UN Sustainable
Development Goals and the Future-Fit Business Benchmark, which also
defines sustainable goals for businesses. Our reporting on climate
change management has been guided by the International Financial
Reporting Standards (IFRS) S2 Climate-related Disclosures Standard
and the Task Force on Climate-related Financial Disclosures (TCFD)
recommendations. TransAlta has achieved a 66 per cent reduction in
GHG emissions or 21.3 million tonnes CO2e since 2015 and received
an upgraded MSCI ESG rating of AA.
For more information about TransAlta, visit its
website at transalta.com.
Cautionary Statement Regarding
Forward-looking Information: This news release contains
forward-looking statements and forward-looking information within
the meaning of applicable securities laws. The use of any of the
words “may”, “will”, and similar expressions are intended to
identify forward-looking information or statements. More
particularly, and without limitation, this news release contains
forward-looking statements and information relating to TransAlta’s
intentions with respect to the NCIB, the effects of repurchases of
Common Shares and purchases thereunder, including any enhancement
to shareholder value. These statements are based on TransAlta’s
belief and assumptions based on information available at the time
the assumptions were made. These statements are subject to a number
of risks and uncertainties that may cause actual results to differ
materially from those contemplated by the forward-looking
statements. Some of the factors that could cause such differences
include: the entering into of an automatic securities purchase
plan; legislative or regulatory developments; any significant
changes to Common Share price or trading volume; continued
availability of capital and financing; changes to general economic,
market or business conditions; business opportunities that become
available to, or are pursued by TransAlta; and other risk
factors contained in the Company’s annual information form and
management’s discussion and analysis. Readers are cautioned not to
place undue reliance on these forward-looking statements or
forward-looking information, which reflect TransAlta’s expectations
only as of the date of this news release. TransAlta disclaims any
intention or obligation to update or revise these forward-looking
statements, whether as a result of new information, future events
or otherwise, except as required by law.
Note: All financial figures are in Canadian
dollars unless otherwise indicated.
For more information:
Investor Inquiries:Phone: 1-800-387-3598 in Canada
and U.S.Email: investor_relations@transalta.com |
Media Inquiries:Toll-free media number:
1-855-255-9184Email: ta_media_relations@transalta.com |
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