CALGARY,
AB, March 8, 2023 /CNW/ - ATCO Ltd. (TSX:
ACO.X) (TSX: ACO.Y)
The Toronto Stock Exchange (the "Exchange") has accepted ATCO
Ltd.'s (the "Company") Notice of Intention to make a Normal Course
Issuer Bid (the "Notice") pursuant to which the Company intends to
make a Normal Course Issuer Bid ("NCIB") for certain of its
outstanding Class I Non-Voting Shares ("Class I Shares") on the
terms set forth in the Notice. The Company believes that, from time
to time, the market price of its Class I Shares may not fully
reflect the value of its business, and that purchasing its own
Class I Shares represents an attractive investment opportunity and
desirable use of available funds. The purchase of Class I Shares,
at appropriate prices, will also minimize any dilution resulting
from the exercise of stock options.
On February 28, 2023, 101,488,182
Class I Shares were issued and outstanding. Under the terms of the
Notice and the rules of the Exchange, the Company may acquire up to
1,014,881 Class I Shares (being 1 per cent of the Class I Shares
issued and outstanding as at February 28,
2023, excluding any Class I Shares held by or on behalf of
the Company on such date), during the period commencing on
March 13, 2023 and ending on
March 12, 2024 or such earlier date
on which the Company completes its purchases of Class I Shares
under the NCIB or terminates the NCIB at its option.
The aggregate number of Class I Shares that the Company may
purchase under the NCIB during any trading day is subject to a
maximum daily purchase limit of 60,948 Class I Shares (being 25 per
cent of the average daily trading volume for the six calendar
months preceding the date of the acceptance of the Notice, which
was equal to 243,792 Class I Shares). Exceptions may be made to
this daily purchase limit in accordance with the "block purchase"
exemptions of the Exchange policy.
Any Class I Shares purchased pursuant to the Notice will be
cancelled. Class I Shares will be purchased at the market price of
the Class I Shares at the time of purchase and will be purchased on
behalf of the Company by a registered investment dealer. Purchases
will be made on the open market through the facilities of TSX,
other designated exchanges and/or alternative Canadian trading
systems or by such other means as may be permitted by the
applicable securities regulator. Any purchase of Class I Shares
pursuant to the NCIB will be financed out of cash and working
capital of the Company.
The Company purchased 486,400 Class I Shares at an average
trading price of $47.28 during the
most recent 12-month period preceding the date hereof pursuant to a
normal course issuer bid, which commenced on March 9, 2022, and expired on March 8, 2023, and permitted the Company to
purchase up to a maximum of 1,011,907 Class I Shares. All such
purchases were made by means of open market transactions at the
market price as at the time of purchase.
In connection with the NCIB, the Company will also enter into an
automatic securities purchase plan ("ASPP") with a designated
broker (the "Broker") on or about the commencement date of the
NCIB. The ASPP has been reviewed by the Exchange and will
facilitate the Company's repurchase of Class I Shares under the
NCIB through the facilities of the Exchange, subject to certain
trading parameters. At its own discretion, the Broker may
repurchase Class I Shares, without the control or influence of the
Company. During the term of the ASPP, the Company will not
communicate any material undisclosed or non-public information to
the trading staff of the Broker; accordingly, the Broker may make
purchases under the ASPP at any time, including during self-imposed
trading blackouts and regardless of whether there is material
undisclosed or non-public information about the Company at the time
of purchase. The Company may otherwise vary, suspend or terminate
the ASPP only if it does not have material undisclosed or
non-public information, the decision to vary, suspend or terminate
the ASPP is not taken during a self-imposed trading blackout and
any variation, suspension or termination is made in accordance with
the terms of the ASPP.
Outside of these periods, the Class I Shares will be repurchased
by the Company at its discretion under the NCIB.
With approximately 7,600 employees and assets of $24 billion, ATCO Ltd. is a diversified global
corporation with investments in the essential services of
Structures & Logistics (workforce and residential housing,
innovative modular facilities, construction, site support services,
workforce lodging services, facility operations and maintenance,
defence operations services, and disaster and emergency management
services); Utilities (electricity and natural gas transmission and
distribution, and international operations); Energy Infrastructure
(energy storage, renewable energy generation, industrial water
solutions, and clean fuels); Retail Energy (electricity and natural
gas retail sales, and whole-home solutions); Transportation (ports
and transportation logistics); and Commercial Real Estate. More
information can be found at www.ATCO.com.
Investor Inquiries:
Colin
Jackson
Senior Vice President, Finance, Treasury, Risk &
Sustainability
(403) 808 2636
colin.jackson@atco.com
Media Inquiries:
Kurt
Kadatz
Director, Corporate Communications
(587) 228 4571
kurt.kadatz@atco.com
Forward-Looking Information:
Certain
statements contained in this news release may constitute
forward-looking information. Forward-looking information is often,
but not always, identified by the use of words such as
"anticipate", "plan", "estimate", "expect", "may", "will",
"intend", "should", and similar expressions.
Forward-looking information involves known and unknown risks,
uncertainties and other factors that may cause actual results or
events to differ materially from those anticipated in such
forward-looking information.
The Company's actual results could differ materially from
those anticipated in this forward-looking information as a result
of regulatory decisions, competitive factors in the industries in
which the Company operates, prevailing economic conditions, and
other factors, many of which are beyond the control of the
Company.
The Company believes that the expectations reflected in the
forward-looking information are reasonable, but no assurance can be
given that these expectations will prove to be correct and such
forward-looking information should not be unduly relied
upon.
Any forward-looking information contained in this news
release represents the Company's expectations as of the date
hereof, and is subject to change after such date. The Company
disclaims any intention or obligation to update or revise any
forward-looking information whether as a result of new information,
future events or otherwise, except as required by applicable
securities legislation.
SOURCE ATCO Ltd.