Alimentation Couche-Tard to repurchase CDPQ shares for C$700m

• The deal reflects a price of C$64.69 per share
• Once the repurchase is completed, CDPQ will hold about 41.5 million shares, representing about 4.3 percent of Couche-Tard’s shares outstanding
• CDPQ, Canada’s second largest pension system, invests on behalf of Quebec public retirement and insurance plans

Alimentation Couche-Tard has entered into a private agreement to buy back about 10.8 million common shares held by Caisse de dépôt et placement du Québec (CDPQ).

The deal reflects a price of C$64.69 per share, for a total consideration of about C$700 million. The price represents a discount of 3 percent to the closing price of the shares on the Toronto Stock Exchange on 28 July, 2023.

Once the repurchase is completed, CDPQ will hold about 41.5 million shares, representing about 4.3 percent of Couche-Tard’s total shares outstanding.

Based in Laval, Quebec, Couche-Tard is a convenience store and mobility business. Its repurchase is being made in connection with the periodic portfolio rebalancing of CDPQ.

” CDPQ is a long-standing investor, and we plan to maintain our commitment as the company continues to grow, for the benefit of our depositors,” said Kim Thomassin, executive vice president and head of Quebec at CDPQ, in a statement. “In this transaction, CDPQ will be monetizing a portion of its investment in order to reinject funds into Québec-based businesses while remaining one of the main shareholders of this multinational leader of the convenience store sector. Our stake in Couche-Tard is now valued at C$2.8 billion.”

CDPQ, Canada’s second largest pension system, invests on behalf of Quebec public retirement and insurance plans. Based in Montreal, it had net assets of C$402 billion as of December 31, 2022.