Chorus Aviation Inc. Announces Final Results of Substantial Issuer Bid

Executive Summary

• Chorus Aviation completed its substantial issuer bid, purchasing and cancelling approximately $50 million of Class A Variable Voting Shares and Class B Voting Shares at CAD 24.25 per share.
• The offer was oversubscribed; 2,061,855 shares (≈8.1% of outstanding shares) were taken up for cancellation, leaving 23,415,381 shares outstanding.
• Shareholders who tendered shares will receive a deemed eligible dividend equal to the excess of the purchase price over paid‑up capital (CAD 24.25 – CAD 15.75).

Key Details

• Purchase Price: CAD 24.25 per share.
• Total Shares Purchased for Cancellation: 2,061,855 shares (≈8.1% of total issued and outstanding as of Sep 25 2025).
• Aggregate Purchase Price: Approximately CAD 50 million (excluding fees and expenses).
• Remaining Outstanding Shares after Offer: 23,415,381 shares.
• Offer Oversubscription: 2,090,782 shares were properly tendered; successful shareholders will have ~98.6% of their tendered shares purchased (odd‑lot tenders excluded).
• Payment Mechanism: Funds transferred to the Depositary (TSX Trust Company), which will distribute payment to shareholders. Invalid or unaccepted tenders will be returned promptly.
• Tax Implications for Canadian Shareholders:
• Paid‑up capital per share estimated at CAD 15.75.
• Excess of purchase price over paid‑up capital (CAD 8.50) treated as an eligible dividend for tax purposes.
• Specified amount for subsection 191(4) of the Income Tax Act is CAD 23.06 per share.
• Shareholder Guidance: Shareholders advised to consult personal tax advisors regarding the dividend treatment and related provincial/territorial taxes.

Notable Quotes

(No direct quotes were provided in the release.)