CALGARY,
AB, Sept. 1, 2023 /CNW/ - Canadian
Utilities Limited (TSX: CU)
The Toronto Stock Exchange (the "Exchange") has accepted, from
Canadian Utilities Limited (the "Company"), a 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 A non-voting shares ("Class A
Shares") on the terms set forth in the Notice. The Company believes
that, from time to time, the market price of its Class A Shares may
not fully reflect the value of its business, and that purchasing
its own Class A Shares represents an attractive investment
opportunity.
On August 24, 2023, 201,843,495
Class A Shares were issued and outstanding. Under the terms of the
Notice and the rules of the Exchange, the Company may acquire up to
10,092,175 Class A Shares (being one per cent of the Class A Shares
issued and outstanding, respectively, as at August 24, 2023), excluding any Class A Shares
held by or on behalf of the Company on such date, during the period
commencing on September 7, 2023 and
ending on September 6, 2024 or such
earlier date on which the Company completes its purchases of Class
A Shares under the NCIB or terminates the NCIB at its option.
The aggregate number of Class A Shares that the Company may
purchase under the NCIB during any trading day is subject to a
maximum daily purchase limit of 170,173 Class A 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 680,692 Class A Shares). Exceptions may be made to
this daily purchase limit in accordance with the "block purchase"
exemptions of the Exchange policy.
Any Class A Shares purchased pursuant to the Notice will be
cancelled. Class A Shares will be purchased at the market price of
the Class A Shares, as appropriate, 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 Exchange, 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 A Shares pursuant to the NCIB will be financed
out of cash and working capital of the Company.
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 will facilitate the Company's repurchase of Class A
Shares under the NCIB through the facilities of the Exchange,
subject to certain trading parameters. At its own discretion, the
Broker may repurchase Class A 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 A Shares will be repurchased
by the Company at its discretion under the NCIB.
Canadian Utilities Limited and its subsidiary and affiliate
companies have approximately 8,000 employees and assets of $23
billion. Canadian Utilities, an ATCO company, is a diversified
global energy infrastructure corporation delivering essential
services and innovative business solutions in Utilities
(electricity and natural gas transmission and distribution, and
international operations); Energy Infrastructure (energy storage,
energy generation, industrial water solutions, and clean fuels);
and Retail Energy (electricity and natural gas retail sales, and
whole-home solutions). More information can be found at
www.canadianutilities.com.
Investor Inquiries:
Colin Jackson
Senior Vice President, Finance, Treasury & 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. In particular,
forward-looking information in this news release includes
references to the Company's intentions regarding the NCIB, purchase
of Class A Shares pursuant to the NCIB, and execution of an ASPP in
connection with the NCIB .
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 market and economic
conditions, availability of sellers, changes in laws and
regulations 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 Canadian Utilities Limited