AURORA, Ontario, November 10, 2016 /PRNewswire/ --
Magna International Inc. (TSX: MG, NYSE: MGA) today
announced that the Toronto Stock Exchange ("TSX") had accepted its
Notice of Intention to Make a Normal Course Issuer Bid (the
"Notice"). Pursuant to the Notice, Magna may purchase up to
38,000,000 Magna Common Shares (the "Bid"), representing
approximately 10% of its public float. As at November 9, 2016, Magna had 384,409,283 issued
and outstanding Common Shares, including a public float of
381,776,401 Common Shares. During the previous 12 months, Magna has
purchased 22,792,564 Common Shares pursuant to a normal course
issuer bid at a weighted average purchase price of US$40.63 per Common Share.
The primary purposes of the Bid are purchases for cancellation,
as well as purchases to fund Magna's stock-based compensation
awards or programs and/or Magna's obligations to its deferred
profit sharing plans. Magna may purchase its Common Shares, from
time to time, if it believes that the market price of its Common
Shares is attractive and that the purchase would be an appropriate
use of corporate funds and in the best interests of the
Corporation.
The Bid will commence on November 15,
2016 and will terminate no later than November 14, 2017. All purchases of Common Shares
under the Bid may be made on the TSX, at the market price at the
time of purchase in accordance with the rules and policies of the
TSX or on the New York Stock Exchange ("NYSE") in compliance with
Rule 10b-18 under the U.S. Securities Exchange Act of 1934.
Purchases may also be made through alternative trading systems in
Canada and/or the United States or by private agreement
pursuant to an issuer bid exemption order issued by a securities
regulatory authority. Purchases made by way of such private
agreements under an issuer bid exemption order will be at a
discount to the prevailing market price. The rules and
policies of the TSX contain restrictions on the number of shares
that can be purchased under the Bid, based on the average daily
trading volumes of the Common Shares on the TSX. Similarly, the
safe harbor conditions of Rule 10b-18 impose certain limitations on
the number of shares that can be purchased on the NYSE per day. As
a result of such restrictions, subject to certain exceptions for
block purchases, the maximum number of shares which can be
purchased per day during the Bid on the TSX is 229,122 based
on 25% of the average daily trading volume for the prior six months
(being 916,491 Common Shares on the TSX). Subject to certain
exceptions for block purchases, the maximum number of shares which
can be purchased per day on the NYSE will be 25% of the average
daily trading volume for the four calendar weeks preceding the date
of purchase. Subject to regulatory requirements, the actual number
of Common Shares purchased and the timing of such purchases, if
any, will be determined by Magna having regard to future price
movements and other factors. All purchases will be subject to
Magna's normal trading blackouts. Any purchases made during a
blackout period will only be made pursuant to a pre-defined
automatic securities purchase plan.
ABOUT MAGNA INTERNATIONAL - We are a leading global automotive
supplier with
312[1] manufacturing
operations[1] and 98 product
development, engineering and sales centres in 29 countries. We have
over 155,000
employees[1] focused on
delivering superior value to our customers through innovative
products and processes, and world class manufacturing. We
have complete vehicle engineering and contract manufacturing
expertise, as well as product capabilities which include body,
chassis, exterior, seating, powertrain, electronic, active driver
assistance, vision, closure and roof systems. Our common shares
trade on the Toronto Stock Exchange (MG) and the New York Stock
Exchange (MGA). For further information about Magna, visit our
website at http://www.magna.com.
FORWARD-LOOKING STATEMENTS
This press release may contain statements that, to the extent
that they are not recitations of historical fact, constitute
"forward-looking statements" within the meaning of applicable
securities legislation, including, but not limited to, future
purchases of our Common Shares under the Normal Course Issuer Bid
or pursuant to private agreements under an issuer bid exemption
order issued by the Ontario Securities Commission. Forward-looking
statements may include financial and other projections, as well as
statements regarding our future plans, objectives or economic
performance, or the assumptions underlying any of the foregoing. We
use words such as "may", "would", "could", "should" "will",
"likely", "expect", "anticipate", "believe", "intend", "plan",
"forecast", "outlook", "project", "estimate" and similar
expressions suggesting future outcomes or events to identify
forward-looking statements. Any such forward-looking statements are
based on information currently available to us, and are based on
assumptions and analyses made by us in light of our experience and
our perception of historical trends, current conditions and
expected future developments, as well as other factors we believe
are appropriate in the circumstances. However, whether actual
results and developments will conform to our expectations and
predictions is subject to a number of risks, assumptions and
uncertainties, many of which are beyond our control, and the
effects of which can be difficult to predict. These risks,
assumptions and uncertainties include, without limitation, the
impact of: the potential for a deterioration of economic conditions
or an extended period of economic uncertainty; a decline in
consumer confidence which would be expected to result in lower
production volume levels; economic or political uncertainty,
including as a result of the United
Kingdom's potential exit from the European union and/or the
outcome of the 2016 U.S. Presidential election; legal claims and/or
regulatory actions against us, including without limitation any
proceeding that may arise out of our global review focused on
antitrust risk; fluctuations in relative currency values; changes
in laws and governmental regulations; liquidity risks; the
unpredictability of and fluctuation in, the trading price of our
Common Shares; and other factors set out in our Annual Information
Form filed with securities commissions in Canada and our annual report on Form 40-F
filed with the United States Securities and Exchange Commission,
and subsequent filings. In evaluating forward-looking statements,
we caution readers not to place undue reliance on any
forward-looking statements and readers should specifically consider
the various factors which could cause actual events or results to
differ materially from those indicated by such forward-looking
statements. Unless otherwise required by applicable securities
laws, we do not intend, nor do we undertake any obligation, to
update or revise any forward-looking statements to reflect
subsequent information, events, results or circumstances or
otherwise.
[1] These figures include
manufacturing operations, product development, engineering and
sales centres and employees in certain equity-accounted
operations.
INVESTOR CONTACT, Louis Tonelli,
Vice-President, Investor Relations, louis.tonelli@magna.com,
+1-905-726-7035; MEDIA CONTACT, Tracy
Fuerst, Director of Corporate Communications & PR,
tracy.fuerst@magna.com, +1-248-631-5396