Get instant alerts when news breaks on your stocks. Claim your one week free trial for StreetInsider Premium here.
TORONTO–(BUSINESS WIRE)–Superior Plus Corp. (“Superior”) is pleased to announce that the Toronto Stock Exchange (“TSX”) has accepted Superior’s notice of intention to commence a normal course issuer bid (“NCIB”) by the through the facilities of the Toronto Stock Exchange (“TSX”) and/or other alternative trading platforms in Canada.
The issuer bid will commence on October 13, 2022 and will end on October 12, 2023, the date Superior purchased the maximum number of common shares permitted under the issuer bid or the date Superior terminate the public tender offer in accordance with its terms. Superior believes that if Common Shares are trading in a price range that does not fully reflect their value, the acquisition of Common Shares may represent an attractive and desirable use of available funds.
“In line with our dynamic approach to capital allocation, the OPRCNA will offer the option of returning capital to shareholders in addition to our regular monthly dividend,” said Luc Desjardins, President and Chief Executive Officer. “We will continue to exercise strict capital discipline, and the decision to repurchase Superior shares will be weighed against our other investment opportunities, including acquisitions and leverage guidelines. We are focused on creating long-term shareholder value, and we will allocate capital to only our most accretive opportunities.”
The OPRCA is intended to enhance Superior’s ongoing return on capital to shareholders through dividends. Superior believes that the market price of its common shares may, from time to time, not accurately reflect their underlying value. Accordingly, the purchase of its own common shares for cancellation under the issuer bid may represent an attractive investment opportunity to enhance shareholder value.
Under the issuer bid, Superior may, over a 12-month period commencing October 13, 2022, purchase in the normal course of business through the facilities of the TSX and/or Canadian alternative trading systems , up to 10,085,599 common shares, such amount representing 5% of the 201,711,987 common shares issued and outstanding at September 30, 2022. Purchases under the issuer bid will be subject to certain price limits established by Superior’s board of directors from time to time. In addition, subject to certain bulk purchase exemptions, the maximum number of common shares Superior may acquire on any one trading day is 123,619 common shares, such amount representing 25% of the average daily volume transactions in ordinary shares of 494,479 for the six calendar months before the start of the OPRA. All common shares purchased by Superior pursuant to the issuer bid will be cancelled.
Superior has engaged a broker to administer the OPRA. Superior will also enter into an automatic purchase plan (“APP”) with its broker in connection with the issuer bid to facilitate purchases of common shares under the issuer bid at times when Superior does not would normally not be active in the market due to its own internal trading breakdown. periods, rules on insider trading or the like. Pursuant to the APP, from time to time when Superior is not in possession of material nonpublic information about itself or its securities, Superior may, but is not required to, direct its broker to make purchases of common shares under the issuer bid during an ensuing blackout period. Such purchases will be based on trading parameters established by Superior prior to the blackout period in accordance with the rules of the TSX, applicable securities laws and the terms of the APP.
About the Company
Superior is a leading North American marketer and marketer of propane and distillates and related products and services, serving approximately 890,000 customers in the United States and Canada.
For more information about Superior, please visit Superior’s website at: www.superiorplus.com or contact: Beth Summers, Executive Vice President and Chief Financial Officer, tel. : (416) 340-6015, or Rob Dorran, Vice President, Capital Markets, Tel: (416) 340-6003, Email: [email protected]toll free: 1-866-490-PLUS (7587).
This press release contains certain forward-looking information and statements based on Superior’s current expectations, estimates, projections and assumptions in light of its experience and perception of historical trends. In this press release, such forward-looking information and statements may be identified by terms such as “may”, “will”, “expect” and similar expressions.
In particular, this press release contains forward-looking statements and information relating to share repurchases under the tender offer, including the potential repurchases to be made and the effects and benefits of the tender offer. . These forward-looking statements are made by Superior based on certain assumptions Superior has made with respect to them as of the date of this press release regarding, among other things: current and future market prices of the common stock, current and future prices of commodities, margins, volumes and exchange rates; that Superior’s future operating results will be consistent with past performance and management’s expectations in this regard; the continued availability of capital; future cash flows and debt levels; and that all required regulatory approvals will be obtained in a timely manner. These forward-looking statements are not guarantees of future performance and are subject to many known and unknown risks and uncertainties, including, but not limited to: general economic and market conditions in Canada, North America and elsewhere; market prices for the common shares being too high to realize the anticipated benefits of the issuer bid; fluctuations in operating results; and certain other risks detailed from time to time in Superior’s public disclosure documents, including, without limitation, those detailed under “Risk Factors” in Superior’s MD&A and Annual Information Form for the fiscal year ended December 31, 2021, which may be located at www.sedar.com.
Accordingly, readers are cautioned that events or circumstances could cause results to differ materially from those anticipated, anticipated or projected. These forward-looking statements are expressly qualified by the statements above. Superior undertakes no obligation to publicly update or revise any forward-looking statements or information contained herein, except as required by applicable law.
Executive Vice President and Chief Financial Officer
Tel: (416) 340-6015
Vice President, Capital Markets
Tel: (416) 340-6003
E-mail: [email protected]
Toll Free: 1-866-490-PLUS (7587)
Source: Superior Plus