VANCOUVER, Ontario--(BUSINESS WIRE)--Absolute® (TSX: ABT) (the “Company”), the standard for endpoint visibility and control, today announced that it is proceeding with a normal course issuer bid for up to 2,538,721 common shares of the Company (the “Bid”), representing approximately 10% of the public float of the Company. On August 29, 2017, the Company had 39,733,576 common shares outstanding. The Company has received approval from the TSX to commence the Bid on September 11, 2017. Purchases will be made on the Toronto Stock Exchange (the “TSX”) and other Canadian marketplaces at the market price at the time of acquisition. The Bid will terminate on September 10, 2018 or earlier if the number of common shares sought in the Bid has been obtained. The Company reserves the right to terminate the Bid earlier if it feels it is appropriate to do so.
The Company’s previous normal course issuer bid expired on August 28, 2017. Under this bid, the Company sought to purchase up to 2,643,256 common shares, and ultimately purchased 280,100 common shares through the facilities of the TSX and alternative Canadian public markets at a weighted average price of $6.29 per share.
The Company is commencing the Bid because it believes that, from time to time, the market price of its common shares may not fully reflect the underlying value of the Company’s business and its future business prospects. The Company believes that at such times the purchase of common shares would be in the best interests of the Company. Such purchases are expected to benefit all remaining shareholders by increasing their equity interest in the Company.
All shares will be purchased on the open market through the facilities of the TSX and other Canadian marketplaces, and payment for the shares will be in accordance with TSX policies. The price paid for the shares will be the market price at the time of purchase. Purchasing may be suspended at any time. No purchases will be made other than by means of open market transactions during the term of the Bid. The maximum number of shares that may be purchased on a daily basis is 17,635 common shares representing 25% of the average daily trading volume of 70,540 shares, except where purchases are made in accordance with “block purchases” exemptions under applicable TSX policies. The shares purchased by the Company will be either returned to treasury for potential use pursuant to equity compensation plans or cancelled.
The Company has engaged Canaccord Genuity Corp. to act as broker and to administer the Bid under an automatic share purchase plan on a blind basis. In the event the automatic share purchase plan is suspended during the term of the Bid and any director, senior officer or other insider of the Company intends to sell any common shares during such period, the Company will suspend purchases under the Bid until such person’s sales are completed. However, sales by such persons through the facilities of the TSX may occur if the personal circumstances of any such person change or any such person makes a decision unrelated to these normal course purchases. The benefits to any such person whose shares are purchased would be the same as the benefits available to all other holders whose shares are purchased. To the knowledge of the Company, no director, senior officer or other insider of the Company currently intends to sell any common shares under the Bid.
This press release contains forward-looking statements that involve risks and uncertainties. These forward-looking statements relate to, among other things, the expected performance, functionality and availability of our services and products, and other expectations, intentions and plans contained in this press release that are not historical facts. When used in this press release, the words "plan," "expect," "believe," and similar expressions generally identify forward-looking statements. These statements reflect our current expectations. They are subject to a number of risks and uncertainties, including, but not limited to, changes in technology and general market conditions. In light of the many risks and uncertainties you should understand that we cannot assure you that the forward-looking statements contained in this press release will be realized. Furthermore, the forward-looking statements contained in this press release are made as at the date hereof and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
Absolute Software Corporation (TSX: ABT) is the new standard for endpoint visibility and control, delivering always-connected IT asset management and self-healing endpoint security to protect devices, data, applications and users — on and off the network. Bridging the gap between IT operations and security, only Absolute gives enterprises visibility they can act on to assess every endpoint, remediate vulnerabilities and at-risk data, and ensure compliance in the face of insider and external threats. Absolute’s patented Persistence technology is already embedded in the firmware of more than one billion PC and mobile devices and trusted by over 20,000 customers worldwide. To learn more, visit www.absolute.com and follow us on Twitter at @absolutecorp.
©2017 Absolute Software Corporation. All rights reserved. Absolute and Persistence are registered trademarks of Absolute Software Corporation. For patent information, visit www.absolute.com/patents. The Toronto Stock Exchange has neither approved nor disapproved of the information contained in this news release.