CALGARY, Nov. 8, 2019 /CNW/ - Enerplus Corporation
("Enerplus" or the "Company") (TSX and NYSE: ERF) announces
acceptance by the Toronto Stock Exchange (the "TSX")
of the amendment to its previously
announced normal course issuer
bid (the "Bid") to increase the number of common
shares it may purchase commencing on November 12, 2019.
The maximum number of shares that may
be purchased under the Bid was increased to
23,818,593 common shares, representing 10% percent
of the "public float" (within the meaning of the
rules of the TSX) as of March
19, 2019. The increase will allow for the
repurchase and cancellation by the Company of an
additional 7,145,578 common shares until the expiry
of the Bid on March 25,
2020. Under the current Bid, Enerplus repurchased on the
open market and cancelled an initial maximum
of 16,673,015 common shares with a weighted average price
of $9.64 per share. Pursuant to the
Bid, purchases may be made through the facilities of the
TSX, the New York Stock Exchange and/or alternative Canadian
trading systems.
Enerplus believes that, from time to time, the market price of
its common shares trade in a price range that does not adequately
reflect their underlying value. Accordingly, Enerplus has concluded
that the repurchase of common shares for cancellation may represent
an attractive investment that will increase the proportionate
interest in the Company of, and be advantageous to, all
of the Company's remaining shareholders.
The Bid will be effected in accordance with the TSX's normal
course issuer bid rules and/or Rule 10b-18 under the U.S. Securities Exchange Act of
1934, as amended, which contain restrictions on the number of
common shares that may be purchased on a single day, subject to
certain exceptions for block purchases, based on the average daily
trading volumes of Enerplus' common shares on the applicable
exchange. Subject to exceptions for block purchases, Enerplus will
limit daily purchases of common shares on the TSX in connection
with the Bid to no more than 25% (270,933 common shares) of the
average daily trading volume of the common shares on the TSX
(1,083,735 common shares) during any trading day. Common shares
purchased under the Bid will be cancelled.
Enerplus is authorized to make purchases during the period of
March 26, 2019 to March 25, 2020 or until such earlier time as the
Bid is completed or terminated at the option of Enerplus. Purchases
under the Bid will be made through open market purchases at market
price, as well as by other means as may be permitted by applicable
securities regulatory authorities, including private agreements.
Any purchases made by private agreement under an issuer bid
exemption order issued by a securities regulatory authority will be
at a discount to the prevailing market price as provided in any
exemption order.
Enerplus has entered into an automatic
purchase plan prior to commencement of any purchases under the
Bid with a broker which will enable Enerplus to
provide standard instructions and purchase common shares on the
open market during self-imposed blackout periods. Outside of these
black-out periods, common shares may be purchased in accordance
with management's discretion.
Since initiating its share repurchase program in the third
quarter of 2018, the Company has repurchased and
cancelled 24,156,485 million shares for total
consideration of $257,803,230
million.
About Enerplus
Enerplus is an independent North American oil and gas
exploration and production company focused on creating long-term
value for its shareholders through a disciplined capital allocation
strategy and a commitment to safe, responsible operations.
Forward-Looking Statements
Certain statements and other information included in this
press release constitute "forward-looking
information" within the meaning of applicable Canadian
securities legislation or constitute "forward-looking
statements" within the meaning of applicable U.S. securities
legislation (collectively, the "forward-looking
statements"). All statements in this press release, other
than those relating to historical information or current
conditions, are forward-looking statements, including,
but not limited to, Enerplus' intention to commence an amended
Bid and the timing, methods and quantity of any
purchases of common shares under the Bid.
These forward-looking statements are subject to a
number of risks and uncertainties, many of which are
beyond our control, which could cause actual results to differ
materially from such forward-looking statements. All of the
forward-looking statements are qualified by the assumptions that
are stated or inherent in such forward-looking statements,
including Enerplus' views with respect to its financial
condition and prospects, the stability of general economic and
market conditions, currency exchange rates and interest
rates, the availability of cash for repurchases of common
shares under the Bid, the existence of alternative uses for
Enerplus' cash resources and compliance with applicable laws
and regulations pertaining to a Bid.
Although Enerplus believes that these assumptions are
reasonable, this list is not exhaustive of the factors that may
affect any of the forward-looking statements and the reader should
not place an undue reliance on these assumptions and such
forward-looking statements.
Events or circumstances that could cause actual results to
differ materially from those in the forward-looking statements,
include, but are not limited to: Enerplus' future capital
requirements, general economic, market and business
conditions, and other risk factors detailed from time to time
in Enerplus reports filed with the Canadian securities
regulators and the Securities and Exchange Commission in
the United States.
Enerplus disclaims any intention or obligation to update
or revise any forward-looking statements in this press release
as a result of new information or future events, except as may be
required under applicable U.S. federal securities laws or
applicable Canadian securities legislation.
SOURCE Enerplus Corporation