TORONTO (Reuters) - Utility firm Canadian Hydro Developers Inc. (KHD.TO: Quote) became the most active stock on the Toronto Stock Exchange on Tuesday after one of its largest shareholders sold more than 12 million shares in two large block trades.
The first trade of 9 million shares, at C$5.65 a share, came just 27 seconds after the market opened at 9:30 a.m. (1430 GMT), according to Reuters data. Less than half a minute later, another block of 3.43 million shares moved at the same price.
Shaw Communications Inc. (SJRnvb.TO: Quote), through an investment vehicle, was the seller, according to a regulatory filing detailing the transactions.
"It had become quite material to them, they have a large capital-expenditure program coming up," Canadian Hydro chief financial officer Kent Brown said of Shaw in an interview. "They're still obviously pleased with the performance of the company and obviously leaving on very good terms."
The two trades were worth a total of C$70.23 million.
Shares of the sustainable-energy utility were down 24 Canadian cents at C$5.71 by 11:20 a.m., compared with its close on Monday of C$5.95. The stock has an average volume of about 130,000 shares, according to Reuters Knowledge data.
Reuters Knowledge listed Shaw as holding 12.43 million shares, or nearly 10.5 percent of the outstanding total, as of February 15. The shares were held through Shaw Venture Partners, an investment subsidiary. The entire stake was sold on Tuesday, according to Shaw's regulatory filing.
Shaw is a diversified communications company that provides television, high-speed Internet and telephone services.
Canaccord Adams analyst Mark Thompson said Shaw's sale doesn't affect Canadian Hydro's fundamentals.
"I don't believe there are any implications for the stock's fundamental value and it remains my favorite renewable energy stock globally," Thompson said.
Reuters Knowledge also lists CDP Capital World Markets, a part of the giant Caisse de depot et placement du Quebec pension fund, as holding about 9.4 million Canadian Hydro shares as of February 15.
Canadian Hydro operates several wind power, hydroelectricity and biomass facilities in Ontario and Western Canada.
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