TORONTO--(BUSINESS WIRE)--Axis Auto Finance Inc. (“Axis” or the “Company”) (TSX: AXIS), a rapidly growing financial technology company changing the way Canadians purchase and finance used vehicles, announced today that the Toronto Stock Exchange (the “TSX”) has accepted a notice filed by Axis of its intention to make a Normal Course Issuer Bid (the “Bid”) for up to 6,105,497 of its issued and outstanding common shares (the “Shares”). The Bid will be conducted through Canaccord Genuity Corp., a member of the TSX, and made in accordance with the policies of the TSX.
Purchases of Shares under the Bid may commence on November 26, 2022 and will terminate on November 25, 2023, or on such earlier date as the Bid is complete. Purchases of Shares will be made through the facilities of the TSX or alternative Canadian trading systems in accordance with its rules.
The average daily trading volume of the Shares for the previous six calendar months ("ADTV") ending October 31, 2022 was 6,432 Shares. On any trading day, purchases under the Bid will not exceed 1,608 Shares. The price that the Company will pay for any Shares purchased under the Bid will be the prevailing market price at the time of purchase. Any Shares purchased by the Company will be cancelled.
As of November 18, 2022, there were 122,109,949 Shares issued and outstanding. The 6,105,497 Shares that may be repurchased under the Bid represent approximately 5% of the issued and outstanding Shares (as determined in accordance with the policies of the TSX) on November 18, 2022.
Axis believes that its Shares have been trading in a price range which does not adequately reflect the value of such shares in relation to the business of Axis and its future business prospects. As a result, depending upon future price movements and other factors, Axis believes that its outstanding Shares may represent an attractive investment to Axis. Furthermore, the purchases are expected to benefit all persons who continue to hold Shares by increasing their equity interest in Axis.
Pursuant to a previous notice of intention to conduct a normal course issuer bid, under which the Company received approval from the TSX Venture Exchange (the "TSXV") to purchase up to 6,907,562 Shares for the period from November 26, 2021 to November 25, 2022, to date, the Company has purchased an aggregate of 6,670,000 Shares on open market transactions through the facilities of the TSXV, the TSX and alternative trading systems at a volume weighted average purchase price of $0.61.
About Axis Auto Finance
Axis is a financial technology company changing the way Canadians buy and finance used vehicles. Through our direct-to-consumer portal, DriveAxis.ca, customers can choose their next used vehicle, arrange financing, and get the car delivered to their home. In addition, the company continues to grow B2B non-prime auto loan originations by delivering innovative technology solutions and superior service to its Dealer Partner Network. All Axis auto loans report to Equifax, resulting in over 70% of customers seeing a significant improvement of their credit scores. Further information on the Company can be found at https://www.axisfinancegroup.com/investors-press-releases/.
The TSX Exchange has neither approved nor disapproved the contents of this press release. Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.