Magna International Inc. (TSX: MG) (NYSE: MGA) today announced that it has amended its current Normal Course Issuer Bid (the “Bid”) to allow for purchases outside the facilities of the Toronto Stock Exchange (“TSX”) and the New York Stock Exchange (“NYSE”) pursuant to exemption orders issued by a securities regulatory authority. Under the amended terms of the Bid, we may continue to purchase common shares under the Bid through the facilities of the TSX or the NYSE but may also purchase Common Shares by way of private agreements under an issuer bid exemption order issued by a securities regulatory authority.
The Ontario Securities Commission (“OSC”) has issued an issuer bid exemption order permitting us to make private agreement purchases from two arm’s length third-party sellers. Any purchases of our Common Shares made by way of any such private agreement will be at a discount to the prevailing market price, may be made in tranches over time, and must otherwise comply with the terms of the OSC order, including that: only one such purchase is permitted per calendar week; any such purchase must occur prior to the Bid’s expiry on November 12, 2013; and the maximum number of Common Shares which may be purchased by way of all such private agreements cannot exceed 4,000,000, being one-third of the total number of Common Shares which may be purchased under the Bid. The maximum number of Common Shares purchased in any weekly tranche by way of private agreement will not exceed 750,000. All Common Shares purchased by way of private agreement will be included in computing the number of Common Shares purchased under our Bid, and information regarding each purchase, including the number of Common Shares purchased and aggregate price paid, will be available on the System for Electronic Document Analysis and Retrieval (SEDAR) following the completion of any such purchase.
Subject to regulatory requirements, the actual number of Common Shares to be purchased under the Bid, whether by way of any such private agreement or otherwise, and the timing of any such purchases will continue to be determined by us having regard to future price movements, our determination that such purchases would be an appropriate use of corporate funds and in the best interests of the Corporation, and other factors. All purchases will be subject to our normal trading blackouts.
