Converge Announces Approval of Normal Course Issuer Bid
August 08 2022 - 3:30PM
Converge Technology Solutions Corp. (“
Converge” or
the “
Company”) (TSX: CTS) (FSE:0ZB) (OTCQX:CTSDF)
announces further to its press release dated July 27, 2022, that
the Toronto Stock Exchange (the “
TSX”), has
approved the Company’s Notice of Intention to Make a Normal Course
Issuer Bid (the “
NCIB”). Pursuant to the NCIB,
Converge may purchase for cancellation up to an aggregate of
10,744,818 common shares (the “
Common Shares”)
representing 5% of the issued and outstanding Common Shares as at
July 31, 2022. The NCIB will commence on August 11, 2022 and
terminate one year after its commencement, or earlier if the
maximum number of Common Shares under the NCIB have been purchased
or the NCIB is terminated at the option of the Company.
The Company and its Board of Directors believes
that, from time to time, the market prices of the Common Shares may
not fully reflect the underlying value of the Company’s business
and its future business prospects and accordingly, the NCIB is in
the best interests of the Company and constitutes a desirable use
of its funds.
Purchases of Common Shares under the NCIB will
be made on the open market through the facilities of the TSX and/or
permitted alternative Canadian trading systems. The price paid for
the Common Shares will be at prevailing market prices in accordance
with the applicable rules and policies of the TSX and applicable
securities laws. All Common Shares acquired by the Company under
the NCIB will be cancelled.
Additionally, the Company has entered into an
automatic share purchase plan agreement (the
“ASPP”) with Hampton Securities Limited
(“Hampton” or “the Broker”) to
facilitate the repurchase of Common Shares. Pursuant to the ASPP,
Hampton may purchase Common Shares under the NCIB at times when the
Company would ordinarily not be active in the market due to its own
internal trading blackout periods, insider trading rules or
otherwise. Trading limits and other parameters for automatic
purchases of the Common Shares under the ASPP will be determined
between the Company and the Broker in accordance with the rules and
policies of the TSX, applicable securities laws and the terms of
the ASPP. Outside of these blackout periods, the Company may
purchase Common Shares at its discretion under the NCIB.
Under the NCIB, other than purchases made under
a block purchase exemption pursuant to the rules and policies of
the TSX, Converge may not purchase more than 170,868 of the issued
and outstanding Common Shares on the TSX during any trading day,
which represents approximately 25% of the average daily trading
volume of 683,473 Common Shares of the Company for the most
recently completed six calendar months preceding July 31, 2022.
About Converge
Converge Technology Solutions Corp. is a
software-enabled IT & Cloud Solutions provider focused on
delivering industry-leading solutions and services. Converge’s
global solution approach delivers advanced analytics, application
modernization, cloud, cybersecurity, digital infrastructure, and
digital workplace offerings to clients across various industries.
The Company supports these solutions with advisory, implementation,
and managed services expertise across all major IT vendors in the
marketplace. This multi-faceted approach enables Converge to
address the unique business and technology requirements for all
clients in the public and private sectors. For more information,
visit convergetp.com.
For further information contact:
Converge Technology Solutions Corp.Email:
investors@convergetp.comPhone: 416-360-1495
Forward-Looking Information
Certain information contained in this press
release may constitute forward-looking information under applicable
securities laws, including statements related to the timing and
amount of potential purchases and the cancellation of Common Shares
under the NCIB and the ASPP. Forward-looking statements are
necessarily based upon various assumptions that, while the Company
considers reasonable, are subject to known and unknown risks,
uncertainties, and other factors which may cause the actual results
and future events to differ materially from those expressed or
implied by such forward-looking statements. Except as required by
law, Converge assumes no obligation to update the forward-looking
statements of beliefs, opinions, projections, or other factors,
should they change. The reader is cautioned not to place undue
reliance on forward-looking statements.
For a detailed description of the risks and uncertainties facing
the Company and its business and affairs, readers should refer to
the Company’s filings available on SEDAR under the Company’s
profile at www.sedar.com including its most recent Annual
Information Form, its Management Discussion and Analysis and its
Annual and Quarterly Financial Statements.
The TSX has not reviewed the information
provided under this press release and does not accept
responsibility for the adequacy or accuracy of this
release.
Converge Technology Solu... (TSX:CTS)
Historical Stock Chart
From Mar 2024 to Apr 2024
Converge Technology Solu... (TSX:CTS)
Historical Stock Chart
From Apr 2023 to Apr 2024