AURORA, ON, Nov. 9, 2012 /CNW/ - Magna International Inc.
(TSX: MG, NYSE: MGA) today announced that the Toronto Stock
Exchange ("TSX") had accepted its Notice of Intention to Make a
Normal Course Issuer Bid (the "Notice"). Pursuant to the Notice, we
may purchase up to 12,000,000 Magna Common Shares (the "Bid"),
representing approximately 5.2% of our public float. As at
November 7, 2012 we had 233,228,126
issued and outstanding Common Shares, including a public float of
232,113,173 Common Shares. During the previous 12 months, the
Corporation has purchased 3,668,430 Common Shares pursuant to a
normal course issuer bid at a weighted average purchase price of
US$35.45 per Common Share.
The primary purposes of the Bid are purchases
for cancellation, as well as purchases to fund our stock-based
compensation awards or programs and and/or our obligations to our
deferred profit sharing plans. The Corporation may purchase its
Common Shares, from time to time, if it believes that the market
price of its Common Shares is attractive and that the purchase
would be an appropriate use of corporate funds and in the best
interests of the Corporation.
The Bid will commence on November 13, 2012 and will terminate no later
than November 12, 2013. All purchases
of Common Shares will be made on the TSX at the market price at the
time of purchase in accordance with the rules and policies of the
TSX. Purchases may also be made on the New York Stock Exchange
("NYSE") in compliance with Rule 10b-18 under the U.S. Securities
Exchange Act of 1934. The rules and policies of the TSX contain
restrictions on the number of shares that can be purchased under
the Bid, based on the average daily trading volumes of the Common
Shares on the TSX. Similarly, the safe harbor conditions of Rule
10b-18 impose certain limitations on the number of shares that can
be purchased on the NYSE per day. As a result of such restrictions,
subject to certain exceptions for block purchases, the maximum
number of shares which can be purchased per day during the Bid on
the TSX is 151,269 based on 25% of the average daily trading volume
for the prior six months (being 605,077 Common Shares on the TSX).
Subject to certain exceptions for block purchases, the maximum
number of shares which can be purchased per day on the NYSE will be
25% of the average daily trading volume for the four calendar weeks
preceding the date of purchase. Subject to regulatory requirements,
the actual number of Common Shares and the timing of purchases, if
any, will be determined by us having regard to future price
movements and other factors. All purchases will be subject to our
normal trading blackouts.
ABOUT MAGNA
We are a leading global automotive supplier with
305 manufacturing operations and 88 product development,
engineering and sales centres in 27 countries. Our 117,000
employees are focused on delivering superior value to our customers
through innovative processes and World Class Manufacturing. Our
product capabilities include body, chassis, interiors, exteriors,
seating, powertrain, electronics, mirrors, closures and roof
systems and modules, as well as complete vehicle engineering and
contract manufacturing.
FORWARD-LOOKING STATEMENTS
This press release may contain statements that,
to the extent that they are not recitations of historical fact,
constitute "forward-looking statements" within the meaning of
applicable securities legislation, including, but not limited to,
future purchases of our Common Shares under the Normal Course
Issuer Bid. Forward-looking statements may include financial and
other projections, as well as statements regarding our future
plans, objectives or economic performance, or the assumptions
underlying any of the foregoing. We use words such as "may",
"would", "could", "should" "will", "likely", "expect",
"anticipate", "believe", "intend", "plan", "forecast", "outlook",
"project", "estimate" and similar expressions suggesting future
outcomes or events to identify forward-looking statements. Any such
forward-looking statements are based on information currently
available to us, and are based on assumptions and analyses made by
us in light of our experience and our perception of historical
trends, current conditions and expected future developments, as
well as other factors we believe are appropriate in the
circumstances. However, whether actual results and developments
will conform to our expectations and predictions is subject to a
number of risks, assumptions and uncertainties, many of which are
beyond our control, and the effects of which can be difficult to
predict. These risks, assumptions and uncertainties include,
without limitation, the impact of: the potential for a
deterioration of economic conditions or an extended period of
economic uncertainty; liquidity risks; risks arising due to the
failure of a major financial institution; fluctuations in relative
currency values; legal claims and/or regulatory actions against us;
the unpredictability of, and fluctuation in, the trading price of
our Common Shares; changes in laws and governmental regulations;
and other factors set out in our Annual Information Form filed with
securities commissions in Canada
and our annual report on Form 40-F filed with the United States
Securities and Exchange Commission, and subsequent filings. In
evaluating forward-looking statements, we caution readers not to
place undue reliance on any forward-looking statements and readers
should specifically consider the various factors which could cause
actual events or results to differ materially from those indicated
by such forward-looking statements. Unless otherwise required by
applicable securities laws, we do not intend, nor do we undertake
any obligation, to update or revise any forward-looking statements
to reflect subsequent information, events, results or circumstances
or otherwise.
SOURCE Magna International Inc.