goeasy Ltd. Announces Renewal of Normal Course Issuer Bid
December 16 2020 - 04:05PM
goeasy Ltd. (TSX: GSY), (“
goeasy” or the
“
Company”), a leading full-service provider of
goods and alternative financial services, announced today the
acceptance by the Toronto Stock Exchange (the
“
TSX”) of goeasy’s notice of intention to renew
its normal course issuer bid (the “
NCIB”).
Pursuant to the NCIB, goeasy may purchase for cancellation up to an
aggregate of 1,079,703 common shares in the capital of the Company
(the “
Common Shares”), representing approximately
10% of goeasy’s public float. As at December 9, 2020, goeasy had
14,801,169 Common Shares issued and outstanding.
Under the NCIB, goeasy may purchase up to 20,888
of its Common Shares on the TSX during any trading day, which
represents 25% of the average daily trading volume of 83,554 Common
Shares on the TSX for the six months ended November 30, 2020, other
than block purchase exemptions. Purchases under the NCIB may
commence on December 21, 2020 and continue until December 20, 2021
or such earlier date as goeasy completes its purchases pursuant to
the NCIB.
The NCIB will provide the Company with the
flexibility to purchase Common Shares as part of its capital
management strategy which is designed to maintain healthy capital
ratios while balancing the objective of generating shareholder
value.
The NCIB will be conducted through the
facilities of the TSX or alternative trading systems, if eligible,
and the price that goeasy will pay for any Common Shares will be
the market price prevailing at the time of purchase or such other
price as may be permitted. Purchases under the NCIB will be made by
means of open market transactions or other such means as a
securities regulatory authority may permit, including pre-arranged
crosses, exempt offers and private agreements under an issuer bid
exemption order issued by a securities regulatory authority.
In connection with the NCIB renewal, the Company
also announces that it has entered into an issuer automatic
purchase plan agreement (the “Plan”) with an
independent designated broker (the “Broker”)
responsible for making purchases of Common Shares pursuant to the
Plan. Under the Plan, the Broker will have sole discretion to
purchase Common Shares pursuant to the NCIB during trading
black-out periods established under the Company’s Insider Trading
Policy, subject to the price limitations and other terms of the
Plan and the rules of the TSX. The Company may instruct the Broker
to make specific purchases and suspend or terminate the Plan,
provided in each case that the Company certifies to the Broker that
it is not in possession of any material undisclosed information and
such request is otherwise in compliance with the terms of the
Plan.
Under its current normal course issuer bid,
which commenced on December 20, 2019 and expires on December 19,
2020, the number of Common Shares that could be repurchased for
cancellation was 1,038,269. To date, the Company purchased for
cancellation 767,855 Common Shares, through the facilities of the
TSX, at a volume weighted average price of approximately $55.18 per
Common Share.
About goeasy
goeasy Ltd., a Canadian company, headquartered
in Mississauga, Ontario, provides non-prime leasing and
lending services through its easyhome and easyfinancial divisions.
With a wide variety of financial products and services including
unsecured and secured instalment loans, goeasy aspires to help put
Canadians on a path to a better financial future, as they rebuild
their credit and graduate to prime lending. Customers can transact
seamlessly with easyhome and easyfinancial through an omni-channel
model that includes online and mobile, as well as over 400 leasing
and lending locations across Canada supported by more
than 2,000 employees. Throughout the company’s history, it has
served over 1 million Canadians and originated $4.7 billion in
loans, with one in three customers graduating to prime credit and
60% increasing their credit score within 12 months of
borrowing.
goeasy is the proud recipient of several awards
including Waterstone Canada’s Most Admired Corporate Cultures,
Glassdoor Top CEO Award, Achievers Top 50 Most Engaged Workplaces
in North America, Greater Toronto Top Employers Award, the
Digital Finance Institute’s Canada’s Top 50 FinTech Companies,
ranking on the TSX30 and placing on the Report on Business ranking
of Canada’s Top Growing Companies. The company and its employees
believe strongly in giving back to the communities in which it
operates and has raised over $3 million to support its
long-standing partnerships with the Boys & Girls Clubs of
Canada and Habitat for Humanity.
goeasy Ltd.’s. common shares are listed on the
TSX under the trading symbol “GSY”. goeasy is rated BB- with a
stable trend from S&P and Ba3 with a stable trend from Moody’s.
Visit www.goeasy.com.
For further information contact:
Jason MullinsPresident & Chief Executive
Officer(905) 272-2788
Farhan Ali KhanSenior Vice President, Corporate
Development and Investor Relations(905) 272-2788
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