CALGARY,
AB, June 16, 2022 /CNW/ - Further to TransAlta
Corporation's ("TransAlta" or the "Company") (TSX: TA) (NYSE:
TAC) press release dated May 31,
2022, the Company announced today that 1,044,299 of its
11,000,000 currently outstanding Cumulative Redeemable Rate Reset
First Preferred Shares, Series C ("Series C Shares") were tendered
for conversion, on a one-for-one basis, into Cumulative
Redeemable Floating Rate First Preferred Shares, Series D ("Series
D Shares") after having taken into account all election notices
following the June 15, 2022
conversion deadline. As a result, on June 30, 2022, the
Company will have 9,955,701 Series C Shares issued and outstanding
and 1,044,299 Series D Shares issued and outstanding.
The Series C Shares will continue to be listed on the Toronto
Stock Exchange (TSX) under the symbol TA.PR.F. The Series D Shares
will begin trading on the TSX on June 30,
2022 under the symbol TA.PR.G, subject to the Company
fulfilling all the listing requirements of the TSX. The Toronto
Stock Exchange has conditionally approved the listing of the Series
D Shares effective upon conversion.
The Series C Shares will pay fixed cumulative preferential cash
dividends on a quarterly basis, for the five-year period from and
including June 30, 2022 to but
excluding June 30, 2027, if, as and
when declared by the Board of Directors of TransAlta based on an
annual fixed dividend rate of 5.85400%, being equal to the
five-year Government of Canada
bond yield of 2.75400% determined as of May
31, 2022, plus 3.10000%, in accordance with the terms of the
Series C Shares.
The Series D Shares will pay quarterly floating rate cumulative
preferential cash dividends for the five-year period from and
including June 30, 2022 to but
excluding June 30, 2027, if, as and
when declared by the Board of Directors of TransAlta. The annual
dividend rate for the Series D Shares for the 3-month floating rate
period from and including June 30,
2022 to but excluding September 30,
2022 will be 4.57700%, being equal to the annual rate for
the auction of 90-day Government of Canada Treasury Bills as of
May 31, 2022 of 1.47700%, plus
3.10000%, in accordance with the terms of the Series D
Shares.
For more information on the terms and risks associated with an
investment in the Series C Shares and the Series D Shares, please
see TransAlta's prospectus supplement dated November 23, 2011 which is available on SEDAR
at www.sedar.com or on TransAlta's website
at transalta.com. The Series C Shares and the Series D Shares
have not been and will not be registered under the U.S. Securities
Act of 1933, as amended (the "U.S. Securities Act") or the
securities laws of the United
States. Accordingly, the Series C Preferred Shares and the
Series D Preferred Shares may not be offered or sold
within the United States or to, or for the account or
benefit of, U.S. persons, except pursuant to transactions exempt
from registration under the U.S. Securities Act or under the
securities laws of the applicable state. This press release does
not constitute an offer to sell or a solicitation of an offer to
buy any security.
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
hydroelectric power. For over 100 years, TransAlta has been a
responsible operator and a proud community-member where its
employees work and live. TransAlta aligns its corporate goals with
the UN Sustainable Development Goals.
For more information about TransAlta, visit our web site at
transalta.com.
Forward Looking Information
This news release contains certain information that is
forward-looking and is subject to important risks and uncertainties
(such statements are usually accompanied by words such as "may",
"will", "should", "estimate", "intend" or other similar words).
Specifically, this news release contains forward-looking
information with respect to the Company, the Series C Shares and
the Series D Shares, including but not limited to the listing of
the Series D Shares and the quantum and payment of dividends on the
Series C Shares and Series D Shares in the future. All forward-
looking information reflects the Company's beliefs and assumptions
based on information available at the time the statements were made
and as such are not guarantees of future performance. Readers are
cautioned not to place undue reliance on this forward-looking
information, which is given as of the date it is expressed in this
press release. TransAlta undertakes no obligation to update or
revise any forward-looking information except as required by law.
For additional information on the assumptions made, and the risks
and uncertainties which could cause actual results to differ from
those in the forward-looking information, refer to the Company's
Annual Information Form, Annual Report and Management's Discussion
and Analysis filed under the Company's profile on SEDAR
at www.sedar.com and with the U.S. Securities and
Exchange Commission at www.sec.gov.
View original
content:https://www.prnewswire.com/news-releases/transalta-corporation-announces-conversion-results-for-series-c-and-d-preferred-shares-301570030.html
SOURCE TransAlta Corporation