ALTAGAS PROVIDES FINAL PRICING AND DIVIDEND RESET RATES ON SERIES G AND SERIES H PREFERRED SHARES

CALGARY, AB, Sept. 3, 2024 /CNW/ - AltaGas Ltd. ("AltaGas" or the "Company") (TSX: ALA) is providing updated and final pricing for the reset rates on its currently outstanding Cumulative Redeemable Five-Year Rate Reset Preferred Shares, Series G (the "Series G Shares") (TSX: ALA.PR.G) and the Cumulative Redeemable Floating Rate Preferred Shares, Series H (the "Series H Shares") (TSX: ALA.PR.H) as per the prospectus' dated June 25, 2014. As disclosed in AltaGas' August 30, 2024 News Release, the Company does not intend to exercise its right to redeem any or all of the currently outstanding Series G or Series H preferred shares on September 30, 2024 (the "Conversion Date").

As a result, subject to certain conditions, the holders of the Series G Shares have the right to convert all or part of their Series G Shares on a one-for-one basis into Series H Shares on the Conversion Date. Holders who do not exercise their right to convert their Series G Shares into Series H Shares will, subject to automatic conversion in the circumstances described below, retain their Series G Shares. In addition, on the Conversion Date the holders of the Series H Shares have the right to convert all or part of their Series H Shares on a one-for-one basis into Series G Shares. Holders who do not exercise their right to convert their Series H Shares into Series G Shares will, subject to automatic conversion in the circumstances described below, retain their Series H Shares.

With respect to any Series G Shares that are outstanding after the Conversion Date, holders shall be entitled to receive, as and when declared by the Board of Directors of AltaGas, fixed cumulative preferential cash dividends, payable quarterly. The new annual dividend rate applicable to the Series G Shares for the five-year period commencing on and including September 30, 2024 to, but excluding September 30, 2029, will be 6.017 percent. The new dividend rate is equal to the five-year Government of Canada bond yield of 2.957 percent (determined as of today's final pricing) plus 3.060 percent. This dividend rate is slightly below the estimated dividend rate that was disclosed on August 30, 2024, to reflect the modest decrease in the five-year Government of Canada bond yield.

With respect to any Series H Shares that are outstanding after the Conversion Date, holders shall be entitled to receive, as and when declared by the Board of Directors of AltaGas, quarterly floating rate cumulative preferential cash dividends. The dividend rate applicable to the Series H Shares for the three-month floating rate period commencing on and including September 30, 2024 to, but excluding December 31, 2024, will be 7.265 percent (the "Floating Quarterly Dividend Rate"). This dividend rate is equal to the annual rate of interest for the most recent auction of 90-day Government of Canada treasury bills of 4.205 percent plus 3.060 percent. This dividend rate is unchanged from the rate disclosed in the August 30, 2024 News Release. The Floating Quarterly Dividend Rate will be reset every quarter.

AltaGas reminds the beneficial holders of Series G Shares and Series H Shares who wish to exercise their right of conversion to do so during the updated conversion period from August 31, 2024 to September 13, 2024 until 5:00 pm Eastern Time. As outlined in AltaGas' August 30, 2024 News Release, beneficial holders should instruct their broker or other nominee to exercise such right accordingly.

About AltaGas

AltaGas is a leading North American infrastructure company that connects customers and markets to affordable and reliable sources of energy. The Company operates a diversified, lower-risk, high-growth Energy Infrastructure business that is focused on delivering stable and growing value for its stakeholders.

For more information visit www.altagas.ca or reach out to one of the following:

Jon Morrison
Senior Vice President, Corporate Development and Investor Relations
[e-mail] 

Aaron Swanson
Vice President, Investor Relations
[e-mail] 

Investor Inquiries
1-877-691-7199
[e-mail] 

Media Inquiries
1-403-206-2841
[e-mail] 

FORWARD-LOOKING STATEMENTS

This news release contains forward-looking statements. When used in this news release, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "seek", "propose", "estimate", "expect", and similar expressions, as they relate to AltaGas are intended to identify forward-looking statements. In particular, this news release contains forward-looking statements with respect to, among other things, the payment of dividends; dividend rates; and rights to convert the Series G Shares and the Series H Shares and Series H Shares to Series G Shares, on what terms and the timing and manner of determination of the interest rates applicable in respect thereof. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Such forward-looking statements reflect AltaGas' current views with respect to future events based on certain material factors and assumptions and are subject to certain risks and uncertainties, including without limitation, changes in market, governmental or regulatory developments, general economic conditions and other factors set out in AltaGas' public disclosure documents. Many factors could cause AltaGas' actual results, performance or achievements to vary from those described in this news release, including without limitation those listed above. These factors should not be construed as exhaustive. Should one or more of these risks or uncertainties materialize, or should assumptions underlying forward-looking statements prove incorrect, actual results may vary materially from those described in this news release as intended, planned, anticipated, believed, sought, proposed, estimated or expected, and such forward-looking statements included in, or incorporated by reference in this news release, should not be unduly relied upon. Such forward-looking statements speak only as of the date of this news release. AltaGas does not intend, and does not assume any obligation, to update these forward-looking statements. The forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

SOURCE AltaGas Ltd.

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