On October 25, 2018, AltaGas Canada Inc. (“ACI”) completed an initial public offering of its common shares. In connection with the initial public offering, ACI issued 16.5 million common shares at a price per share of $14.50 for gross proceeds of approximately $239 million, and the common shares began trading on the Toronto Stock Exchange under the symbol “ACI.”
On November 21, 2018, an additional 2,475,000 common shares were issued at the same price per share for gross proceeds of approximately $36 million following the exercise in full by the underwriters of their over-allotment option.
The common shares were sold through a syndicate of underwriters jointly led by RBC Capital Markets, TD Securities Inc. and J.P. Morgan Securities Canada Inc., and including CIBC World Markets Inc., National Bank Financial Inc., BMO Nesbitt Burns Inc., Scotia Capital Inc., Beacon Securities Limited, Desjardins Securities Inc. and Industrial Alliance Securities Inc.
AltaGas Ltd. retains a significant minority interest in ACI, which holds Canadian rate-regulated natural gas distribution utility assets as well as contracted renewable power assets.
Stikeman Elliott LLP represented ACI in Canada with a team that included Christopher Nixon, Pat McNally and Rhonda Parhar (Corporate and Securities), Dennis Langen and Vincent Light (Regulatory), and Kevin Guenther (Tax). Michael Hermsen, Robert Gray and Vince Cangolosi of Mayer Brown LLP advised ACI on US securities law matters.
Blake, Cassels & Graydon LLP represented the underwriters in Canada with a team that included Ross Bentley, Dan McLeod, Chelsea Hunter, Sarah Hammond, Sharagim Habibi, James Donnelly, Robert Sevalrud and Samantha Chinn (Corporate and Securities), Terri-Lee Oleniuk and Nicole Bakker (Energy Regulatory), and Carrie Aiken and Monika Cheng (Tax). Christopher Cummings, Christian Kurtz and Lewis Fainer of Paul, Weiss, Rifkind, Wharton & Garrison LLP advised the underwriters on matters of US Securities law.