|By Marketwired .||
|December 2, 2013 06:32 PM EST||
HAMILTON, BERMUDA -- (Marketwired) -- 12/02/13 -- Teekay Corporation (Teekay or the Company) (NYSE: TK) announced today that its largest shareholder, Resolute Investments Ltd. (Resolute), has agreed to sell 5.7 million of its Teekay common shares to a group of investors led by Magnetar Capital and Triangle Peak Partners for total net proceeds of $228 million. In connection with this transaction, Teekay has agreed to repurchase 300,000 Teekay common shares from Resolute at the same price as the investors, which shares Teekay intends to cancel upon closing. Both transactions are scheduled to close on December 3, 2013. In addition, Resolute has agreed to a 270-day lock-up period, during which time it will not sell any additional Teekay shares. Following the closing of the transactions, Resolute will own approximately 36 percent of Teekay's outstanding common shares, down from approximately 44 percent currently.
Tommy Hsu, a Director of Resolute commented, "The transaction announced today represents Resolute Investments' only material sale of Teekay shares since 1998 and was driven primarily by a desire to diversify and rebalance our portfolio. This transaction will accomplish that goal." Mr. Hsu added, "We will continue to maintain a long-term, core shareholding in Teekay."
Peter Evensen, President and Chief Executive Officer of Teekay commented, "We are pleased to have facilitated this transaction between Resolute and some of Teekay's larger, long-term investors. We are also enthusiastic about adding new, strategic investors including Triangle Peak Partners. We believe the significant investor demand and high quality investor group represents a positive endorsement of Teekay's goal of becoming an asset light holder of general partnership interests." Mr. Evensen added, "We further believe our repurchase of shares from Resolute represents an attractive investment for Teekay as we continue to execute on our strategy."
About Teekay Corporation
Teekay Corporation is an operational leader and project developer in the marine midstream space. Through its general partnership interests in two master limited partnerships, Teekay LNG Partners L.P. (NYSE: TGP) and Teekay Offshore Partners L.P. (NYSE: TOO), its controlling ownership of Teekay Tankers Ltd. (NYSE: TNK), and its fleet of directly-owned vessels, Teekay is responsible for managing and operating consolidated assets of over $11 billion, comprised of over 170 liquefied gas, offshore, and conventional tanker assets. With offices in 15 countries and approximately 6,400 seagoing and shore-based employees, Teekay provides a comprehensive set of marine services to the world's leading oil and gas companies, and its reputation for safety, quality and innovation has earned it a position with its customers as The Marine Midstream Company.
Teekay's common stock is listed on the New York Stock Exchange where it trades under the symbol "TK".
This release contains forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended) which reflect management's current views with respect to certain future events and performance, including statements regarding: the potential sale by Resolute of additional Teekay shares in the future; and the timing of the closing of sales of shares by Resolute. The following factors are among those that could cause actual results to differ materially from the forward-looking statements, which involve risks and uncertainties, and that should be considered in evaluating any such statement: the future sale by Resolute of some or all of its remaining Teekay common shareholdings following the expiry of its lock-up agreement; various factors affecting Teekay or the price of Teekay common shares in the future; conditions in the United States capital markets; and satisfaction of closing conditions to the sale of shares by Resolute. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any such statement is based.
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