- Bombardier’s (BBD.B) Board of Directors has approved a share consolidation and the renewal of a normal course issuer bid for its Class B shares
- The share consolidation ratio will be one post-consolidation share for every twenty-five pre-consolidation Class A shares or Class B shares
- Shares will continue to be listed on the TSX under the symbols BBD.A and BBD.B
- The company is also renewing its NCIB to purchase up to 20,000,000 Class B shares
- The commencement date of the NCIB will be communicated at a later date
- Bombardier operates aerostructure, assembly and completion facilities in Canada, the United States and Mexico
- Bombardier Inc. Class B Subordinate Voting Shares (BBD.B) opened trading at C$1.27
Bombardier’s (BBD.B) Board has approved a share consolidation and the renewal of a normal course issuer bid for its Class B shares.
The corporation is targeting to implement the Share Consolidation and renewed NCIB in June 2022.
Shareholders have approved a resolution authorizing the corporation to proceed with a share consolidation. The board is proceeding with the consolidation at a ratio of one post-consolidation share for every twenty-five pre-consolidation Class A shares or Class B shares.
The share consolidation would reduce the number of issued and outstanding shares from 308,734,229 Class A shares and 2,133,526,542 Class B shares to approximately 12,349,369 Class A shares and 85,341,061 Class B shares.
Shares will continue to be listed on the TSX under the symbols BBD.A and BBD.B, although the post-consolidation Class A shares and Class B shares will be issued new CUSIP and ISIN numbers.
Proportionate adjustments will be made to the exercise or conversion price under any of the corporation’s outstanding convertible securities, stock options, and share units. The maximum number of Class B shares purchasable under the corporation’s NCIB would also be proportionately adjusted.
If, as a result of the consolidation, a shareholder becomes entitled to a fractional share, the number of post-consolidation shares that the registered shareholder is entitled to will be rounded down to the nearest whole number.
The Board of Directors has also approved renewing the company’s NCIB to purchase up to 20,000,000 Class B shares representing approximately 0.94 per cent of its 2,133,526,542 Class B shares currently issued and outstanding. All Class B shares purchased under the renewed NCIB will either be cancelled or placed in trust with Computershare Canada to satisfy future obligations under the corporation’s employee share-based incentive plans.
Purchases made on the open market through the facilities of the TSX and alternative trading systems will be at the prevailing market price at the time of acquisition.
The renewal of the NCIB is subject to obtaining approval from the TSX. The commencement date of the NCIB and the final maximum number of Class B shares purchasable under the renewed NCIB and other relevant details will be communicated at a later date.
Headquartered in Montréal, Québec, Bombardier operates aerostructure, assembly and completion facilities in Canada, the United States and Mexico.
Bombardier Inc. Class B Subordinate Voting Shares (BBD.B) opened trading at C$1.27.