Algoma Steel starts US$400M issuer bid
by CM Staff
The company says the offer will expire at 5 p.m. (Eastern Time) on July 27, 2022, unless extended or withdrawn.
SAULT STE. MARIE — Algoma Steel Group Inc. says it is commencing its previously announced substantial issuer bid to purchase for cancellation up to US$400 million of its common shares.
The company says the offer will expire at 5 p.m. (Eastern Time) on July 27, 2022, unless extended or withdrawn.
Algoma made the offer by way of a “modified Dutch Auction,” which means shareholders who choose to participate in the offer may individually select the price, within a price range of not less than US$8.75 and not more than US$10.25 per share at which they will tender their shares to the offer.
Upon expiry of the offer, Algoma will determine the lowest purchase price that will allow it to purchase the maximum number of shares properly tendered to the offer, and not properly withdrawn, having an aggregate purchase price not exceeding US$400 million.
Shareholders who wish to participate in the offer will be able to do so through an auction tender, or a purchase price tender, in which they will agree to have a specified number of shares purchased at the purchase price to be determined pursuant to the auction and have their shares considered as having been tendered at the minimum price of US$8.75 for the purposes of determining the purchase price.
