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Clairvest Announces New Normal Course Issuer Bid
Toronto, Ontario (March 2, 2020) – Clairvest Group Inc. (TSX: CVG) today announced that the Toronto Stock Exchange has accepted a notice filed by Clairvest of its intention to make a new normal course issuer bid (“NCIB”). Clairvest’s current NCIB expires on March 6, 2020. The notice provides that the Corporation may, during the 12-month period commencing March 7, 2020 and ending March 6, 2021, purchase on The Toronto Stock Exchange up to 759,984 common shares in total, being approximately 5% of the outstanding common shares. The average daily trading volume for the six months ending February 28, 2020 was 651 common shares. Daily purchases will be limited to 1,000 common shares, other than block purchase exceptions. Any shares purchased will be cancelled. The price which the Corporation will pay for any such shares will be the market price at the time of acquisition. The actual number of common shares which may be purchased and the timing of any such purchases will be determined by the Corporation. In total 3,591,532 common shares at a cost of approximately $41 million have been purchased under previous normal course issuer bids. The Corporation purchased 44,294 common shares on the Toronto Stock Exchange, out of an approved maximum repurchase amount of 760,747 under its current bid within the last twelve months at a weighted average price of $50.95 per share. There were 15,199,697 common shares of the Corporation outstanding on February 28, 2020.
The Corporation believes, depending upon future price movements and other factors, that its outstanding common shares may represent an attractive investment and a desirable use of a portion of its available funds.
Clairvest also announced today that, in connection with its NCIB, Clairvest has renewed its automatic share purchase plan (the “ASPP”) with a designated broker to allow for the purchase of its common shares under the NCIB, once effective, at times when Clairvest normally would not be active in the market due to applicable regulatory restrictions or internal trading black-out periods. Before the commencement of any internal trading black-out period, Clairvest may, but is not required to, instruct its designated broker to make purchases of Clairvest’s common shares under the NCIB during the ensuing black-out period in accordance with the terms of the ASPP. Such purchases will be determined by the broker in its sole discretion based on parameters established by Clairvest prior to commencement of the applicable black-out period in accordance with the terms of the ASPP and applicable TSX rules. Outside of these black-out periods, common shares will be purchasable by Clairvest at its discretion under its NCIB, once effective.
The ASPP will commence on the effective date of the NCIB and will terminate on the earliest of the date on which: (a) the maximum annual purchase limit under the NCIB has been reached; (b) the NCIB expires; or (c) Clairvest terminates the ASPP in accordance with its terms. The ASPP constitutes an “automatic securities purchase plan” under applicable Canadian securities laws.