LAVAL,
QC, July 23, 2024 /CNW/ - Alimentation
Couche-Tard Inc. ("Couche-Tard" or the "Corporation")
(TSX: ATD) announced today that it entered into a private
agreement with Caisse de dépôt et placement du Québec
("CDPQ"), for the repurchase for cancellation of 8,695,652 common
shares of Couche-Tard held by CDPQ at a price of CAD $80.50 per share, for a total consideration of
approximately CAD $700 million. The
repurchase price represents a discount of 3% to the closing price
of the shares on the Toronto Stock Exchange ("TSX") on July 22, 2024, and will be paid using
Couche-Tard's cash on hand.
The repurchase will be made in connection with the periodic
portfolio rebalancing of CDPQ. Once the repurchase is completed,
CDPQ will hold approximately 32.8 million shares, representing
approximately 3.5% of Couche-Tard's total shares outstanding.
"This transaction is consistent with our opportunistic approach
regarding our share repurchase program and broader capital
allocation priorities and represents a distinct opportunity to
create shareholder value. Our healthy balance sheet and strong
financial position, highlighted by our leverage ratio in line with
our customary financial discipline, allows us to be well-positioned
for opportunities like this to deploy excess cash on-hand" said
Filipe Da Silva, Chief Financial
Officer.
"Following this transaction, CDPQ will remain a major
shareholder of Alimentation Couche-Tard, with a $2.7 billion stake. We've been a partner of the
company for nearly 30 years, and we will continue to support the
expansion of this international leader," said Kim Thomassin, Executive Vice-President and Head
of Québec at CDPQ. "The proceeds of this monetization will be
reinvested in other companies in Québec."
A favorable decision was obtained from the Autorité des
marchés financiers to exempt Couche-Tard from issuer bid
requirements under applicable securities legislation applicable to
the transaction, which will be made at a discount in accordance
with the decision.
The share repurchase will be made outside of the facilities of
the TSX as allowed under the Corporation's normal course issuer bid
("NCIB") commenced on May 1, 2024, as
previously communicated. Under the NCIB, Couche-Tard is authorized
to repurchase up to 78,083,521 shares until the earlier of
April 30, 2025, or the date on which
the Corporation will either have acquired the maximum number of
shares allowable under the NCIB or otherwise decides not to make
any further purchases for cancellation under it. As at July 22, 2024, the Corporation had not
repurchased any shares under its current NCIB. Following this
transaction, the Corporation will have repurchased a total of
8,695,652 shares under its NCIB and pursuant to private agreements
pursuant to exemption orders issued by securities regulators.
Information regarding the share repurchase, including the number
of shares repurchased and aggregate repurchase price paid, will be
available on SEDAR at www.sedar.com following the completion
thereof. Couche-Tard will not issue any additional press release
announcing the completion of this share repurchase.
About Alimentation Couche-Tard Inc.
Couche-Tard is a global leader in convenience and mobility,
operating in 31 countries and territories, with more than 16,700
stores, of which approximately 13,100 offer road transportation
fuel. With its well-known Couche-Tard and Circle K banners, it is
one of the largest independent convenience store operators in
the United States and it is a
leader in the convenience store industry and road transportation
fuel retail in Canada,
Scandinavia, the Baltics, Belgium,
as well as in Ireland. It also has
an important presence in Luxembourg, Germany, the
Netherlands, Poland, as
well as in Hong Kong Special Administrative Region of People's Republic of China. Approximately
149,000 people are employed throughout its network.
For more information on Alimentation Couche-Tard Inc., or to
consult its audited annual Consolidated Financial Statements,
unaudited interim condensed consolidated financial statements and
Management Discussion and Analysis, please visit:
https://corpo.couche-tard.com
Forward-Looking Statements
Certain statements in this press release may constitute forward
looking statements within the meaning of securities legislation,
including those with respect to the closing and the anticipated
benefits of the repurchase transaction. Positive or negative verbs
such as "believe", "can", "shall", "intend", "expect", "estimate",
"assume" and other related expressions are used to identify such
statements. Such statements are based upon the current beliefs and
expectations of Couche-Tard and are subject to significant risks
and uncertainties outside of Couche-Tard's control. Couche-Tard
would like to point out that, by their very nature, forward-looking
statements involve risks and uncertainties such that its results,
or the measures it adopts, could differ materially from those
indicated in or underlying these statements, or could have an
impact on the degree of realization of a particular projection.
Unless otherwise required by applicable securities laws,
Couche-Tard disclaims any intention or obligation to update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise. The forward-looking
information in this release is based on information available as of
the date of the release.
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SOURCE Alimentation Couche-Tard Inc.