ADF Group Inc announces the renewal of a normal course issuer bid on the corporation subordinate voting shares Français
TERREBONNE, QC, Dec. 6, 2012 /CNW Telbec/ - ADF Group Inc ("ADF" or the "Corporation") (TSX: DRX) announces that it has obtained the approval of its Board of Directors and the Toronto Stock Exchange to renew its normal course issuer bid.
From December 11, 2012 to December 10, 2013, ADF Group will be authorized to repurchase for cancellation up to 1,552,731 subordinate voting shares. The share buybacks will be made from time to time when deemed appropriate by the Corporation, considering current economic conditions, its liquidities and the progress of its project to set up a fabrication plant in the State in Montana, U.S.A. These 1,552,731 shares represent approximately 10% of the public float of subordinate voting shares. At the close of business on November 30, 2012, the number of subordinate voting shares outstanding totalled 18,111,205, of which 85.7% or 15,527,313 shares were held by the public.
ADF's management and Board of Directors believe that the price of the subordinate voting shares may sometimes not reflect the intrinsic value of ADF and that, consequently, this repurchase of the subordinate voting shares may be a judicious use of ADF's funds. The repurchase of the subordinate voting shares will be carried out by ADF on the open market through the Toronto Stock Exchange in compliance with its requirements, which currently limit the repurchase to 2,470 shares per day, or 25% of the number of subordinate voting shares traded daily, on average, over the last six months, with the exception of block trades.
The price that ADF will pay for the subordinate voting shares that it will acquire will be the market price of those shares at their acquisition date. All the shares repurchased under the normal course issuer bid will be cancelled. The purchases will be made at ADF's discretion.
Over the last twelve months ADF has repurchased 339,600 subordinate voting shares at a weighted average price of $1.33 per share under a previous normal course issuer bid carried out through the Toronto Stock Exchange and which ended on October 5, 2012.
About ADF Group Inc.
ADF Group Inc. is a North American leader in the design and engineering of connections, fabrication and installation of complex steel structures, heavy steel built-ups, as well as miscellaneous and architectural metals for the non-residential construction industry. ADF is one of the few players in the industry capable of handling highly technically complex mega projects on fast-track schedules in the commercial, institutional, industrial and public sectors.
Forward-Looking Information
This press release contains forward-looking statements reflecting ADF objectives and expectations. These statements are identified by the use of verbs such as "expect" as well as by the use of future or conditional tenses. By their very nature these types of statements involve risks and uncertainty. Consequently, reality may differ from ADF's expectations.
SOURCE: ADF GROUP INC.
Jean-François Boursier, CPA, CA, Chief Financial Officer
Telephone: (450) 965-1911 / 1 (800) 263-7560
Web Site: www.adfgroup.com
Share this article