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  • Algoma Steel Group (ASTL) has announced the preliminary results of its substantial issuer bid which expired on July 27, 2022
  • Algoma expects to purchase for cancellation 41,025,641 shares at a price of US$9.75 per share for a total of approximately US$400 million
  • The shares expected to be purchased represent approximately 27.9 per cent of Algoma’s issued and outstanding shares
  • The final number of shares purchased and final purchase price will be announced following the verification process
  • Algoma is a producer of hot and cold rolled steel products for the automotive, construction, energy, defense, and manufacturing sectors
  • Algoma Steel Group Inc. (ASTL) opened trading at C$12.12

Algoma Steel Group (ASTL) has announced the preliminary results of its substantial issuer bid which expired on July 27, 2022.

Algoma expects to purchase for cancellation 41,025,641 shares at a price of US$9.75 per share for a total of approximately US$400 million.

The shares expected to be purchased represent approximately 27.9 per cent of Algoma’s issued and outstanding shares. Following the offer, Algoma anticipates that 105,403,930 shares will be issued and outstanding.

Shareholders who made auction tenders at a price of US$9.75 or less per share are expected to have approximately 95.2 per cent of their successfully tendered shares purchased by Algoma. Shareholders who made auction tenders at a price in excess of US$9.75 per share should not expect any of their shares to be purchased by Algoma.

The final number of shares purchased, the final purchase price, and the estimated paid-up capital per share will be announced following the verification process and the guaranteed delivery period. 

BMO Nesbitt Burns Inc. and BMO Capital Markets Corp. acted as dealer managers for the offer and TSX Trust Company acted as the Depositary.

Algoma is a producer of hot and cold rolled steel products for the automotive, construction, energy, defense, and manufacturing sectors. Algoma is a key supplier of steel products to customers in Canada and Midwest USA and is the only producer of plate steel products in Canada.

Algoma Steel Group Inc. (ASTL) opened trading at C$12.12.


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