CALGARY, AB, Feb. 16, 2022 /CNW/ - AltaGas Ltd. ("AltaGas"
or the "Company") (TSX: ALA) announces its
intention to redeem – in accordance with the terms of the
Cumulative Redeemable 5-Year Minimum Rate Reset Preferred Shares,
Series K (the "Series K Shares") as set out in the Company's
articles – all of its 12,000,000 issued and outstanding Series K
Shares on March 31, 2022 (the
"Redemption Date") for a redemption price equal to $25.00 per Series K Share, together with all
accrued and unpaid dividends to, but excluding, the Redemption Date
(the "Redemption Price"), less any tax required to be deducted or
withheld by the Company.
As outlined in a January 11, 2022
press release, AltaGas will use the proceeds from the $300 million Financing of 5.25% Fixed-to-Fixed
Rate Subordinated Notes, Series 1 due January 11, 2082 (the "Series 1 Notes") to redeem
the Series K Shares. AltaGas expects to save approximately
$66 million in the initial ten-year
term of the Series 1 Notes due to lower taxes and financing
charges. The Financing and Redemption will also continue to
stagger, extend and de-risk AltaGas' capital structure.
The Company has provided notice today of the Redemption Price
and the Redemption Date to the sole registered holder of the Series
K Shares in accordance with the terms of the Series K Shares as set
out in the Company's articles. Non-registered holders of Series K
Shares should contact their broker or other intermediary for
information regarding the redemption process for the Series K
Shares in which they hold a beneficial interest. The Company's
transfer agent for the Series K Shares is Computershare Investor
Services Inc. Questions regarding the redemption process may be
directed to Computershare Investor Services Inc. at 1-800-564-6253
or by email to corporateactions@computershare.com.
ABOUT ALTAGAS
AltaGas is a leading North American infrastructure company that
connects customers and markets to affordable and reliable sources
of energy. The Company operates a diversified, lower-risk,
high-growth Utilities and Midstream business that is focused on
delivering resilient and durable value for its
stakeholders.
For more information visit www.altagas.ca or reach out to
one of the following:
Investor Inquiries
1-877-691-7199
investor.relations@altagas.ca
Media Inquiries
1-403-206-2841
media.relations@altagas.ca
FORWARD-LOOKING INFORMATION
This news release contains forward-looking statements. When
used in this news release, the words "may", "would", "could",
"will", "intend", "plan", "anticipate", "believe", "seek",
"propose", "estimate", "expect", and similar expressions, as they
relate to AltaGas, are intended to identify forward-looking
statements. In particular, this news release contains
forward-looking statements with respect to, among other things, the
payment of dividends and redemption of Series K Shares. These
statements involve 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
statements. Such statements reflect AltaGas' current views with
respect to future events based on certain material factors and
assumptions and are subject to certain risks and uncertainties,
including without limitation, changes in market competition,
governmental or regulatory developments, general economic
conditions and other factors set out in AltaGas' public disclosure
documents. Many factors could cause AltaGas' actual results,
performance or achievements to vary from those described in this
news release, including without limitation those listed above.
These factors should not be construed as exhaustive. Should one or
more of these risks or uncertainties materialize, or should
assumptions underlying forward-looking statements prove incorrect,
actual results may vary materially from those described in this
news release as intended, planned, anticipated, believed, sought,
proposed, estimated or expected, and such forward-looking
statements included in, or incorporated by reference in this news
release, should not be unduly relied upon. Such statements speak
only as of the date of this news release. AltaGas does not intend,
and does not assume any obligation, to update these forward-looking
statements. The forward-looking statements contained in this news
release are expressly qualified by this cautionary
statement.
SOURCE AltaGas Ltd.