Brookfield increases stake in TransAlta Corporation

CPE News (1/8/2021) – Brookfield Asset Management Inc. (TSX: BAM.A; NYSE: BAM), through its affiliates, has acquired, additional 333,100 common shares in the capital of TransAlta Corporation (TSX: TA; NYSE: TAC) on the Toronto Stock Exchange (TSX) in open market purchases for aggregate cash consideration of approximately $3,517,536, at a price of $10.56 per share.

Prior to the new share acquisition, Brookfield owned or had control over an aggregate of 33,512,585 shares representing approximately 12.3% of the issued and outstanding common shares, calculated on an undiluted basis. Following the transaction, Brookfield owned or had control over an aggregate of 33,845,685 Common Shares, representing approximately 12.4% of the issued and outstanding common shares, calculated on an undiluted basis.

Brookfield said it believes that TransAlta’s common shares represent an attractive investment opportunity.

Brookfield is the second largest shareholders just behind RBC Global Asset Management Inc. which beneficially controls 40,620,865 TransAlta common shares.

On October 30, 2020, Brookfield BRP Holdings (Canada) Inc., an entity affiliated with Brookfield Renewable Partners L.P. (NYSE: BEP; TSX: BEP. UN) and with Brookfield Asset Management, completed $400 million second and final tranche of its previously announced $750 million strategic investment in TransAlta.

The investment, consisting of $350 million in unsecured, subordinated debentures issued on May 1, 2019 and $400 million in new series of redeemable, retractable first preferred shares, is convertible into up to a 49% equity ownership interest in an entity established to hold TransAlta’s Alberta hydro assets after December 31, 2024.

TransAlta owns, operates and develops a diverse fleet of electrical power generation assets in Canada, the United States and Australia.

photo credit: TransAlta

News Release

Early Warning Release

All amounts in Canadian dollars unless otherwise stated.

Toronto, Ontario, January 8, 2021 – Brookfield Asset Management Inc. (“Brookfield”) (TSX: BAM.A; NYSE: BAM) reports that, through its affiliates, Brookfield has acquired, in aggregate, 333,100 common shares (the “Common Shares”) in the capital of TransAlta Corporation (“TransAlta”) on the Toronto Stock Exchange in open market purchases for aggregate cash consideration of approximately $3,517,536, at a price of $10.56 per Common Share (the “Transaction”).

Prior to giving effect to the Transaction, Brookfield owned or had control over an aggregate of 33,512,585 Common Shares representing approximately 12.3% of the issued and outstanding Common Shares, calculated on an undiluted basis. Following the Transaction, Brookfield owned or had control over an aggregate of 33,845,685 Common Shares, representing approximately 12.4% of the issued and outstanding Common Shares, calculated on an undiluted basis, an increase of approximately 0.1%.

In accordance with National Instrument 62-103, an Early Warning Report with additional information in respect of the foregoing matters will be filed by Brookfield in respect of the Transaction. A copy of such report may be obtained from the SEDAR profile of TransAlta at www.sedar.com.

Brookfield believes that TransAlta’s Common Shares represent an attractive investment opportunity. TransAlta’s head office is located at 110 – 12th Avenue S.W., Calgary, Alberta, Canada. T2R 0G7.

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Brookfield Asset Management Inc. is a leading global alternative asset manager with approximately US$575 billion of assets under management across real estate, infrastructure, renewable power, private equity and credit. Brookfield owns and operates long-life assets and businesses, many of which form the backbone of the global economy. Utilizing its global reach, access to large-scale capital and operational expertise, Brookfield offers a range of alternative investment products to investors around the world—including public and private pension plans, endowments and foundations, sovereign wealth funds, financial institutions, insurance companies and private wealth investors.

Brookfield Asset Management is listed on the New York and Toronto stock exchanges under the symbol BAM and BAM.A respectively.

For more information, please visit our website at www.brookfield.com or contact:

Media:
Claire Holland
Vice President, Branding & Communications
Tel: (416) 369-8236
Email: claire.holland@brookfield.com

Investor Relations
Linda Northwood
Director, Investor Relations
Tel: (416) 359-8647
Email: linda.northwood@brookfield.com