CALGARY, March 9, 2018 /CNW/ - TransAlta Corporation
("TransAlta" or the "Company") (TSX: TA; NYSE: TAC) today announced that the Toronto Stock Exchange ("TSX") has accepted the
notice filed by the Company to implement a normal course issuer bid ("NCIB") for a portion of its common shares ("Common
Shares").
Pursuant to the NCIB, TransAlta may repurchase up to a maximum of 14,000,000 Common Shares, representing approximately 4.86%
of issued and outstanding Common Shares as at March 2, 2018. Purchases under the NCIB may be made
through open market transactions on the TSX and any alternative Canadian trading platforms on which the Common Shares are traded,
based on the prevailing market price. Any Common Shares purchased under the NCIB will be cancelled.
Transactions under the NCIB will depend on future market conditions. TransAlta retains discretion whether to make purchases
under the NCIB, and to determine the timing, amount and acceptable price of any such purchases, subject at all times to
applicable TSX and other regulatory requirements. TransAlta may also enter into an automatic securities purchase plan in
connection with its NCIB that contains parameters regarding how its Common Shares may be repurchased during times when it would
ordinarily not be permitted to purchase Common Shares due to regulatory restrictions or self-imposed blackout periods.
The period during which TransAlta is authorized to make purchases under the NCIB commences on March 14,
2018 and ends on March 13, 2019 or such earlier date on which the maximum number of Common
Shares are purchased under the NCIB or the NCIB is terminated at the Company's election.
Under TSX rules, not more than 102,039 Common Shares (being 25% of the average daily trading volume on the TSX of 408,156
Common Shares for the six months ended February 28, 2018) can be purchased on the TSX on any single
trading day under the NCIB, with the exception that one block purchase in excess of the daily maximum is permitted per calendar
week.
The NCIB provides the Company with a capital allocation alternative with a view to long-term shareholder value. TransAlta's
Board of Directors and Management believe that, from time to time, the market price of TransAlta's Common Shares does not reflect
the underlying value and purchases of Common Shares for cancellation under the NCIB may provide an opportunity to enhance
shareholder value.
As of March 2, 2018, there are 287,903,467 Common Shares outstanding, of which 287,297,124
Common Shares are considered to be in the public float as they are not held by directors, officers or principal shareholders of
the Company. Accordingly, the maximum number of Common Shares that may be repurchased under the NCIB represents
approximately 4.86% of the number of Common Shares currently outstanding, and approximately 4.87% of the public float.
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. We provide municipalities, medium and large industries, businesses and utility
customers clean, affordable, energy efficient, and reliable power. Today, we are one of Canada's
largest producers of wind power and Alberta's largest producer of hydro-electric 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
and we have been recognized by CDP (formerly Climate Disclosure Project) as an industry leader on Climate Change Management.
We are also proud to have achieved the Silver level PAR (Progressive Aboriginal
Relations) designation by the Canadian Council for Aboriginal Business.
For more information about TransAlta, visit our web site at transalta.com .
Forward-Looking Statements
This news release contains forward-looking statements and forward-looking information within the meaning of applicable
securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "may", "will", "project", "should",
"propose", "plans", "intends" and similar expressions are intended to identify forward-looking information or statements. More
particularly, and without limitation, this news release contains forward-looking statements and information relating to:
TransAlta's intentions with respect to the NCIB and purchases thereunder, the entering into of an automatic securities purchase
plan; and the effects of repurchases of Common Shares, including any enhancement to shareholder value. These statements are based
on TransAlta's belief and assumptions based on information available at the time the assumptions were made. These statements are
subject to a number of risks and uncertainties that may cause actual results to differ materially from those contemplated by the
forward-looking statements. Some of the factors that could cause such differences include: legislative or regulatory
developments; any significant changes to Common Share price or trading volume; continued availability of capital and financing;
changes to general economic, market or business conditions; business opportunities that become available to, or are pursued by
TransAlta; and other risk factors contained in the Company's annual information form and management's discussion and
analysis. Readers are cautioned not to place undue reliance on these forward-looking statements or forward-looking information,
which reflect TransAlta's expectations only as of the date of this news release. TransAlta disclaims any intention or obligation
to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise, except
as required by law.
Note: All financial figures are in Canadian dollars.
SOURCE TransAlta Corporation
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