CALGARY,
AB, July 25, 2024 /CNW/ - July 25, 2024 – ACT Energy Technologies Ltd.
(TSX: ACT) ("ACT", the "Company", "we",
"us" or "our") is pleased to
announce that the Toronto Stock Exchange ("TSX") has
accepted and provided approval for ACT's notice of intention to
renew our normal course issuer bid ("NCIB"). Except where
stated otherwise, all common share figures herein reflect the
Company's share consolidation, which was effective July 3, 2024, on the basis of one (1)
post-consolidation common share for every seven (7)
pre-consolidation common shares (the "Share
Consolidation").
The NCIB allows ACT to purchase up to 1,902,008
common shares (representing 10% of the Company's public float, as
defined by the TSX, as of July 15,
2024) over a period of 12 months commencing on July 29, 2024. On July 15,
2024, ACT had 34,769,058 common shares issued and
outstanding and 19,020,083 common shares in our public float. This
normal course issuer bid will expire no later than July 28, 2025.
Under the NCIB, common shares may be purchased
through the facilities of the TSX, or through other alternative
Canadian trading systems. The price the Company will pay for any
common shares acquired under the NCIB will be the market price at
the time of acquisition, and the common shares acquired will be
cancelled. The actual number of common shares purchased under the
NCIB, the timing of purchases and the price at which the common
shares are purchased will depend on management discretion based on
factors such as market conditions.
The average daily trading volume ("ADTV")
of the Company's common shares on the TSX over the six months
ending June 30, 2024, was 44,549
common shares. Under TSX rules, ACT is entitled to purchase up to
the greater of: 25% of the ADTV of the respective class of shares;
or 1,000 shares on any trading day; or a larger amount of shares
per calendar week, subject to the maximum number that may be
acquired under the NCIB, if the transaction meets the block
purchase exception under TSX rules. Accordingly, unless a block
purchase meeting the block purchase exception under TSX rules is
made, the Company is entitled to purchase up to 11,137 common
shares on any trading day.
In connection with the NCIB, the Company has
established an automatic securities purchase plan ("the
Plan") for the Common Shares. The Plan was established to
provide standard instructions regarding how the Common Shares are
to be repurchased under the NCIB. Accordingly, the Company or its
broker may repurchase its securities under the NCIB on any trading
day during the NCIB except during regulatory restrictions or
self-imposed trading blackout periods. The Plan will commence on
July 29, 2024 and terminate on
July 28, 2025. The Company may
otherwise vary, suspend or terminate the Plan only if it does not
have material non-public information and the decision to vary,
suspend or terminate the Plan is not taken during a self-imposed
trading blackout period. The Plan constitutes an "automatic plan"
for purposes of applicable Canadian securities legislation and has
been reviewed by the TSX.
The Board of Directors and senior management of
the Company are of the opinion that from time to time the purchase
of its Common Shares at the prevailing market price is in the best
interest of the Company and its shareholders. By making such
repurchases, the number of Common Shares in circulation will be
reduced and the proportionate interest of remaining shareholders of
the Company in the share capital of the Company will be increased
on pro rata basis.
The Company was permitted to repurchase up to
12,160,008 pre-consolidation common shares under its prior NCIB
that ran from July 16, 2023 to
July 17, 2024. As at July 15, 2024, ACT had repurchased an aggregate
of 6,766,600 pre-consolidation common shares (equivalent to 966,657
post-consolidation common shares) under our expired NCIB on the
open market at a volume weighted average price per common share of
approximately $0.87 per common share
(approximately $6.09 when adjusted to
reflect the Share Consolidation).
ABOUT ACT ENERGY TECHNOLOGIES
ACT Energy Technologies Ltd., based in
Calgary, Alberta, Canada, is
incorporated under the Business Corporations Act
(Alberta). We operate in
Canada and in the United States as "Altitude Energy
Partners", and in the U.S. under "Discovery Downhole Services" and
"Rime Downhole Technologies". ACT's common shares are
publicly-traded on the Toronto Stock Exchange under the symbol
"ACX". ACT is a trusted partner to North American energy companies
requiring high performance directional drilling services and
related downhole technologies. We work in partnership with our
customers to tailor our equipment and expertise to meet their
specific geographical and technical needs. Our experience,
technologies and responsive personnel enable our customers to
achieve higher efficiencies and lower project costs. For more
information, visit www.actenergy.com.
FORWARD-LOOKING INFORMATION
This news release contains statements and
information that may constitute "forward-looking information"
within the meaning of applicable securities legislation, including
statements identified by the use of words such as "will",
"expects", "positions", "believe", "potential" and similar words,
including negatives thereof, or other similar expressions
concerning matters that are not historical facts. Forward-looking
information in this news release includes, but is not limited to,
statements regarding ACT's expectations regarding the Company's
plans to purchase for cancellation shares under the normal course
issuer bid. Such forward-looking information is based on various
assumptions that may prove to be incorrect, including, but not
limited to, assumptions with respect to: regulatory approval,
market and economic conditions, and availability of sellers.
Although the Company believes that such assumptions are reasonable,
the Company can give no assurance that such forward-looking
statements will prove to be correct or that any of the events
anticipated by such forward-looking statements will occur, or if
any of them do so, what benefits the Company will derive there
from. Actual results could differ materially due to a number of
factors and risks including, but not limited to market and economic
conditions, availability of sellers and changes in laws and
regulations. Additional information regarding risks and
uncertainties of the Company's business are contained under the
heading "Risk Factors" in the Company's annual information form for
the financial year ended December 31,
2023 and the Company's other public filings which are
available under the Company's profile on SEDAR+ at
www.sedarplus.ca. The forward-looking information included in this
news release is made as of the date of this news release and the
Company does not undertake an obligation to publicly update such
forward-looking information to reflect new information, future
events or otherwise, except as required by applicable law.
Requests for further information should be directed to:
Tom Connors, President &
Chief Executive Officer
P. Scott MacFarlane, Interim Chief Financial
Officer
ACT Energy Technologies Ltd.
6030 3 Street S.E.
Calgary, Alberta T2H 1K2
Telephone: 403.265.2560, Fax: 403.262.4682
www.actenergy.com
SOURCE ACT Energy Technologies Ltd.