Calgary Alberta - Canadian Pacific (CP) said today it has received notice of an unsolicited mini-tender offer from TRC Capital Investment Corporation (TRC) to purchase up to 1.5 million common shares of CP, representing approximately 0.16 percent of the outstanding shares of common stock, at a price of $88.50 per share.
 
CP does not endorse this unsolicited offer, and advises CP shareholders that the offer has been made at a price 4.37 and 4.49 percent respectively, below market price, as of CP's closing price on the Toronto Stock Exchange and the New York Stock Exchange on 2 May 2022, the date of the offer.
 
CP has no association with TRC Capital, or its offer, and recommends that shareholders do not tender their CP shares to the offeror.
 
The Canadian Securities Administrators have issued long-standing guidance on the practice of mini-tenders.
 
Additionally, the SEC has cautioned investors about mini-tender offers noting that "some bidders make mini-tender offers at below-market prices, hoping that they will catch investors off guard if the investors do not compare the offer price to the current market price."
 
The SEC published investor tips regarding these offers on its website.
 
Author unknown.