TORONTO, March 7,
2024 /CNW/ - United Corporations Limited (TSX:
UNC) (TSX: UNC.PR.A) (TSX: UNC.PR.B)
(TSX: UNC.PR.C) (the "Company") announced today that the Toronto
Stock Exchange (the "Exchange") has accepted a notice filed by the
Company of its intention to proceed with the renewal of its Normal
Course Issuer Bid (the "Bid") to be transacted through the
facilities of the Exchange or through alternative Canadian trading
systems.
The notice provides that the Company may, during the 12-month
period commencing March 12, 2024 and
ending March 11, 2025, purchase up to
562,823 common shares in the capital of the Company ("Shares") in
total, being approximately 5% of the total number of 11,256,465
Shares outstanding as at February 27,
2024. The price which the Company will pay for any such
Shares will be the prevailing market price at the time of
acquisition. The actual number of Shares which may be purchased
pursuant to the Bid will be determined by management of the
Company. Any Shares purchased pursuant to the Bid will be
cancelled.
The average daily trading volume of the Shares on the Exchange
for the most recently completed six calendar months is 1572. Under
the Bid, the Company may purchase up to 1,000 Shares on the
Exchange during any trading day.
The timing of purchases will be determined by management of the
Company, which will be based on market conditions, share price,
best use of available cash, and other factors. The funding for any
purchase pursuant to the Bid will be financed out of the working
capital of the Company.
The Company's previous Normal Course Issuer Bid (the "Previous
NCIB") expires on March 8, 2024.
Under the Previous NCIB, the Company obtained the approval of the
Exchange to purchase up to 580,102 Shares, which represented 5% of
the 11,602,048 Shares issued and outstanding as at the close of
business on February 24, 2023. The
Company purchased on the open market and cancelled an aggregate of
6,600 Shares under the Previous NCIB at an average price of
$102.08 per Share.
The Board of Directors believes that, in the event the Shares
trade in a price range that does not fully reflect their value, the
purchase of the Shares would be an appropriate use of corporate
funds in the best interests of the Company and its shareholders.
Furthermore, the purchases are expected to benefit all persons who
continue to hold Shares by increasing their equity interest in the
Company if the repurchased Shares are cancelled.
About United Corporations
Limited
The Company is a closed-end investment corporation that trades
on the Exchange. The Company has always been an investment vehicle
for long-term growth through investments in common equities, as
management believes that over long periods of time common equities,
as an asset class, will outperform fixed income instruments or
balanced funds. The equity investments in the portfolio reflect
investment opportunities world-wide. For more information, please
visit: https://www.ucorp.ca/.
Forward-Looking
Statements
This press release may contain forward-looking information
within the meaning of applicable securities regulation. The words
"may", "will", "would", "should", "could", "expects", "plans",
"intends", "trends", "indications", "anticipates", "believes",
"estimates", "predicts", "likely" or "potential" or the negative or
other variations of these words or other comparable words or
phrases, are intended to identify forward-looking
information. These statements include, without limitation,
statements regarding the Company's intentions and expectations with
respect to the Bid and purchases thereunder, and the effects of
purchases under the Bid. Purchases made under the Bid are not
guaranteed and may be suspended at the discretion of the Board of
Directors. Forward-looking information is based on a number of
assumptions and is subject to a number of risks and uncertainties
that may cause the results or events mentioned in this press
release to differ materially from those that are discussed in or
implied by such forward-looking information. These risks and
uncertainties include, but are not limited to, general, local
economic, and business conditions. All forward-looking information
in this press release speaks as of the date hereof. The Company
does not undertake to update any such forward-looking information
whether as a result of new information, future events or otherwise.
Additional information about these assumptions and risks and
uncertainties is disclosed in filings with securities regulators
filed on SEDAR+ (www.sedarplus.com).
SOURCE United Corporations Limited