TransAlta announces conversion results of series C, series D preferred shares

Chicago, June 16 – TransAlta Corp. announced today the results of its conversion offer, according to a press release.

Accordingly, 1,044,299 of its 11 million currently outstanding cumulative redeemable rate reset first preferred shares, series C will be converted on June 30, on a one-for-one basis, into cumulative redeemable floating-rate first preferred shares, series D.

As a result, on June 30, 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 are issued on the Toronto Stock Exchange under “TAPrF” and the series D shares will be listed as “TAPrG.”

The series C shares will be paying a dividend of 5.854% starting June 30, and for the next five years. The dividend was determined using the five-year Government of Canada bond yield of 2.754% on May 31 plus 310 basis points.

The series D shares will reset quarterly from June 30 to June 30, 2027. The rate will be 4.577% for the initial period, but then will be determined using the 90-day Government of Canada Treasury bills plus 310 bps.

Election notices were due on June 15, the conversion deadline.

TransAlta is a power generation and wholesale marketing company based in Calgary, Alta.

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