Alimentation Couche-Tard Announces Agreement to Repurchase Shares
Posted on 04/06/2022
Alimentation Couche-Tard Inc. entered into a private agreement with Caisse de dépôt et placement du Québec (CDPQ), for the repurchase for cancellation of 5,477,451 Class A multiple voting shares of Couche-Tard (Class A shares) held by CDPQ at a price of C$ 54.77 per Class A share, for a total consideration of approximately C$ 300 million. The repurchase price represents a discount of 3% on the closing price of the Class A shares on the Toronto Stock Exchange on April 4, 2022 and will be paid using Couche-Tard’s cash on hand. Couche-Tard is in the convenience and fuel retail industry, operating in 26 countries and territories, with more than 14,100 stores, of which approximately 10,800 offer road transportation fuel. With its well-known Couche-Tard and Circle K banners, it is one of the largest independent convenience store operator in the United States and it is a leader in the convenience store industry and road transportation fuel retail in Canada, Scandinavia, the Baltics, as well as in Ireland. It also has an important presence in Poland and Hong Kong SAR. Approximately 124,000 people are employed throughout its network.
The repurchase will be made in connection with the periodic portfolio rebalancing of CDPQ. Once the repurchase is completed, CDPQ will hold approximately 52.3 million Class A shares, representing approximately 5% of Couche-Tard’s total shares outstanding.
A favorable decision was obtained from the Autorité des marches financiers to exempt Couche-Tard from issuer bid requirements under applicable securities legislation applicable to the transaction, which will be made at a discount in accordance with the decision and is expected to settle on April 6, 2022.
The share repurchase will be made in connection with the Alimentation Couche-Tard’s normal course issuer bid commenced on April 26, 2021, as previously amended.
