TransAlta (NYSE: TAC) funds 318 MW acquisition with $350M equity raise

Rhea-AI Filing Summary

TransAlta Corporation closed a bought deal common share offering, issuing 18,230,000 shares at $19.20 per share for total gross proceeds of approximately $350 million. The shares were sold through a syndicate of underwriters led by CIBC Capital Markets and RBC Capital Markets.

TransAlta intends to use the net proceeds to fund the cash purchase price of its planned acquisition of two natural gas‑fired peaking facilities totaling 318 MW near Denver, Colorado, which is expected to close early in the fourth quarter of 2026, subject to regulatory approvals and other conditions. Underwriters hold a 30‑day option to buy up to an additional 2,734,500 shares for potential extra gross proceeds of about $52,502,400, and if the acquisition does not close, the company expects to redirect proceeds to other growth opportunities, capital projects, debt reduction or general corporate purposes.

Insights

Equity capital markets analyst

TransAlta raises $350M equity to support a 318 MW U.S. gas acquisition.

TransAlta completed a bought deal equity financing, issuing 18,230,000 common shares at $19.20 per share for gross proceeds of about $350 million. Bought deals provide funding certainty because underwriters commit to buy the full issue and then place it with investors.

The company plans to use net proceeds to pay the cash portion of its acquisition of two natural gas‑fired peaking plants totaling 318 MW near Denver, expected to close in early Q4 2026, subject to regulatory approvals and other conditions. There is also an underwriters’ 30‑day option for up to 2,734,500 additional shares, adding potential gross proceeds of about $52,502,400.

If the acquisition does not close, the company states it may redeploy the funds to future growth opportunities, capital development, debt reduction or general corporate purposes. Actual impact on leverage, earnings and dilution will depend on final deal completion, plant performance and any exercise of the over‑allotment option.

Key Figures

Shares issued: 18,230,000 shares Offering price: $19.20 per share Gross proceeds: approximately $350 million +5 more

8 metrics

Shares issued 18,230,000 shares Common shares issued in bought deal offering

Offering price $19.20 per share Price of common shares in the offering

Gross proceeds approximately $350 million Total gross proceeds from the offering

Over-allotment shares 2,734,500 shares Maximum additional shares underwriters may purchase

Potential extra proceeds approximately $52,502,400 Gross proceeds if over-allotment option fully exercised

Acquisition capacity 318 MW Total capacity of two natural gas-fired peaking facilities

Expected acquisition close early Q4 2026 Target closing timeframe for the acquisition

Over-allotment period 30 days Duration underwriters may exercise additional share option

Key Terms

bought deal offering, underwriters, net proceeds, forward-looking statements, +2 more

6 terms

bought deal offering financial

"it has closed its previously announced bought deal offering (the Offering) of common shares"

A bought deal offering is when an investment bank agrees to buy an entire new block of a company’s shares or bonds upfront and then resell them to investors, taking on the risk that it might not be able to sell everything at a profit. It matters to investors because it delivers fast, guaranteed cash to the company and clear pricing, but can also mean the securities are sold at a discount and may put short-term downward pressure on the market price, similar to someone buying a garage of items in bulk and then selling them individually.

underwriters financial

"offered and sold through a syndicate of underwriters led by CIBC Capital Markets and RBC Capital Markets"

Underwriters are financial professionals or institutions that help companies raise money by selling new securities, such as stocks or bonds, to investors. They assess the risk and determine the price at which these securities should be sold, acting like a bridge between the company and the investors. Their role helps ensure that the company raises the needed funds while providing investors with options that reflect the level of risk involved.

net proceeds financial

"TransAlta intends to use the net proceeds of the Offering to fund the cash purchase price"

The amount of money a company actually keeps from a sale or fundraising after paying all direct costs and fees, similar to take-home pay after taxes and deductions. Investors care because net proceeds determine how much cash is available for things that affect value—paying debt, funding projects, buying assets, or returning money to shareholders—so it influences future growth potential and financial health.

forward-looking statements regulatory

"This news release includes “forward-looking information,” ... and “forward-looking statements,”"

Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.

MD&A financial

"including those described in our MD&A for the three months ended March 31, 2026"

Management’s Discussion and Analysis (MD&A) is a section of a company’s financial filing where executives explain recent results, the reasons behind changes, risks faced, and expectations for the future in plain language alongside the numbers. Investors use it like an owner’s narrative to understand the story behind the raw financial data — what drove performance, potential pitfalls, and management’s plans — helping judge whether the company’s numbers are likely to improve or worsen.

regulatory approvals regulatory

"subject to the satisfaction of certain closing conditions, including receipt of regulatory approvals"

Regulatory approvals are official permissions from government agencies that a company needs before launching a new product, service, or business activity. They matter because without this approval, the company might not be allowed to operate legally or sell its products, similar to how a driver needs a license to legally drive a car.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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FAQ

What did TransAlta Corporation (TAC) announce in this Form 6-K?

TransAlta announced it closed a bought deal offering of common shares, issuing 18,230,000 shares at $19.20 each for gross proceeds of about $350 million, primarily to fund a planned acquisition of two natural gas-fired peaking facilities near Denver totaling 318 MW.

How much capital did TransAlta (TAC) raise and at what share price?

TransAlta raised approximately $350 million in gross proceeds by issuing 18,230,000 common shares at a price of $19.20 per share. The shares were sold through a syndicate of underwriters led by CIBC Capital Markets and RBC Capital Markets under a bought deal structure.

What acquisition is TransAlta (TAC) planning to fund with this equity raise?

TransAlta intends to use the net proceeds to fund the cash purchase price of its planned acquisition of two new natural gas-fired peaking facilities totaling 318 MW near Denver, Colorado. The acquisition is expected to close early in the fourth quarter of 2026, subject to regulatory approvals and conditions.

When is TransAlta’s 318 MW acquisition expected to close?

The acquisition of the two natural gas-fired peaking facilities totaling 318 MW near Denver is expected to close early in the fourth quarter of 2026. Completion depends on satisfying closing conditions, including obtaining required regulatory approvals and meeting other customary requirements outlined by TransAlta.

Does the TransAlta (TAC) offering include an over-allotment option for underwriters?

Yes. Underwriters have a 30-day option to purchase up to an additional 2,734,500 common shares at the same $19.20 offering price. If fully exercised, this option would provide TransAlta with potential additional gross proceeds of approximately $52,502,400 beyond the initial $350 million raise.

How will TransAlta (TAC) use the offering proceeds if the acquisition does not close?

If the acquisition is not completed, TransAlta states it plans to use the net proceeds for future growth opportunities including acquisitions, financing capital development expenditures, reducing outstanding indebtedness, or other general corporate purposes, providing flexibility in deploying the raised capital across its business priorities.

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE

SECURITIES EXCHANGE ACT OF 1934

For the month of June 2026

Commission File Number: 001-15214

TransAlta Corporation

(Translation of registrant’s name into English)

Suite 1400, 1100 - 1st Street S.E., Calgary, Alberta, T2G 1B1

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F [ ] Form 40-F [ X ]

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

		TransAlta Corporation
		(Registrant)
Date: June 9, 2026		/s/ Mike Politeski
		Mike Politeski
		Executive Vice President, Finance and Chief Financial Officer

EXHIBIT INDEX

Exhibit Number		Description
99.1		TransAlta Announces Closing of $350 Million Bought Deal Offering of Common Shares

Exhibit 99.1

  News Release

TransAlta Announces Closing of $350 Million Bought Deal Offering of Common Shares

CALGARY, Alberta (June 9, 2026)

TransAlta Corporation (TransAlta or the Company) (TSX: TA) (NYSE: TAC) is pleased to announce that it has closed its previously announced bought deal offering (the Offering) of common shares.

Pursuant to the Offering, TransAlta issued a total of 18,230,000 common shares (the Offered Shares) at a price of $19.20 per share (the Offering Price) for total gross proceeds of approximately $350 million.

The Offered Shares were offered and sold through a syndicate of underwriters led by CIBC Capital Markets and RBC Capital Markets.

TransAlta intends to use the net proceeds of the Offering to fund the cash purchase price of its previously announced acquisition (the Acquisition) of two new natural gas-fired peaking facilities totaling 318 MW near Denver, Colorado. The Acquisition is expected to close early in the fourth quarter of 2026, subject to the satisfaction of certain closing conditions, including receipt of regulatory approvals.

The underwriters also have an option to purchase up to an additional 2,734,500 common shares at the Offering Price, exercisable for a period of 30 days following the closing of the Offering, for potential additional gross proceeds to TransAlta of approximately $52,502,400.

If the Acquisition is not completed, the Company intends to use the net proceeds from the Offering to finance future growth opportunities including acquisitions, finance its capital development expenditures, reduce its outstanding indebtedness or for other general corporate purposes.

For additional information regarding the Acquisition and the Offering, refer to the Company’s news release dated June 3, 2026, available under TransAlta’s profile on SEDAR+ at www.sedarplus.ca and on EDGAR at www.sec.gov.

This news release does not constitute an offer to sell or the solicitation of an offer to buy any securities of TransAlta.

About TransAlta Corporation

TransAlta is one of Canada’s largest publicly traded power generators, delivering reliable electricity across Canada, the U.S. and Western Australia. For more than 100 years, our people have safely operated and evolved essential energy infrastructure that powers customers and communities. Our technology-diverse portfolio and disciplined execution allow us to deliver dependable power across evolving energy systems. We take a practical, responsible approach to meeting today’s energy needs while building for what comes next.

Cautionary Statement Regarding Forward-Looking Information

This news release includes “forward-looking information,” within the meaning of applicable Canadian securities laws, and “forward-looking statements,” within the meaning of applicable U.S. securities laws, including the Private Securities Litigation Reform Act of 1995 (collectively referred to herein as “forward-looking statements”). Forward-looking statements are not facts, but only predictions and generally can be identified by the use of statements that include phrases such as “may”, “will”, “believe”, “expect”, “estimate”, “anticipate”, “intend”, “plan”, “forecast”,

  News Release

“potential”, “future”, “outlook”, “strategy”, “continue” or other similar words or expressions suggesting future events or future performance. In particular, this news release contains forward-looking statements pertaining to, without limitation, the expected use of the net proceeds of the Offering and the terms and expected closing date of the Acquisition.

The forward-looking statements contained herein are based on certain assumptions that TransAlta has made as at the date of this news release regarding, among other things: the satisfaction of the conditions to closing of the Acquisition in a timely manner, including receipt of all necessary approvals; and that the Acquisition will be completed on terms consistent with management’s current expectations; no significant changes to applicable laws and regulations; and no material changes to international trade laws, regulations, agreements, treaties, taxes, tariffs, duties or policies of Canada, the U.S. or other countries.

Although TransAlta believes the expectations and material factors and assumptions reflected in these forward-looking statements are reasonable as of the date hereof, there can be no assurance that these expectations, factors and assumptions will prove to be correct. These forward-looking statements are not guarantees of future performance and are subject to a number of known and unknown risks and uncertainties that could cause actual events or results to differ materially, including those described in our MD&A for the three months ended March 31, 2026 and our MD&A for the year ended December 31, 2025.

All forward-looking statements contained in this news release are expressly qualified by this cautionary statement. TransAlta does not undertake any obligation to update or revise any forward-looking statements contained herein, except as may be required by applicable laws.

For more information:

Investor Inquiries:		Media Inquiries:
Phone: 1-800-387-3598 in Canada and U.S.		Phone: 1-855-255-9184
Email: investor_relations@transalta.com		Email: ta_media_relations@transalta.com

Filing Exhibits & Attachments

1 document

Press Releases

• EX-99.1 EX-99.1 11.9 KB