TORONTO, May 10 /CNW/ - MIDDLEFIELD BANCORP LIMITED ("MBN") announced
today its intention to make a normal course issuer bid for its common
shares through the facilities of the Toronto Stock Exchange (the
"TSX"). This normal course issuer bid is intended to commence on May
12, 2011 and will terminate on May 11, 2012. The price that MBN will
pay for any securities purchased will be the prevailing market price of
such securities on the TSX at the time of such purchase.
At May 3, 2011 there were 8,847,648 common shares issued and
outstanding. MBN may, during the 12 month period commencing May 12,
2011, purchase on the TSX up to 442,382 common shares, being 5% of the
common shares outstanding. MBN may not however purchase more than
1,000 common shares on any given day, other than block purchases in
accordance with the rules of the TSX. MBN will cancel all common
shares purchased pursuant to the bid. MBN has purchased and
subsequently cancelled 55,300 common shares since May 12, 2010 at an
average price of $1.16 per common share under its previously approved
normal course issuer bid.
MBN believes that the current and recent market price of its common
shares does not reflect its underlying value. As a result, depending
on future movements and other factors, MBN believes that its common
shares may represent an attractive investment for MBN and a desirable
use of its available funds. Any normal course purchases made by MBN
will also afford an increased degree of liquidity to those shareholders
of MBN who wish to dispose of their common shares.
MBN is a Canadian merchant bank managed by Middlefield Group. The
Company's principal objective is to create long term shareholder value
through a twofold strategy of strategic investing in businesses with
strong management and exceptional prospects for longer term earnings
growth and special situation investing where there is excellent
potential for significant capital appreciation. Our aim is to produce
a steady stream of growing earnings from strategic investments
supplemented by earnings from special situation activities.
MBN trades on the Toronto Stock Exchange under the symbol "MBN".
SOURCE Middlefield Bancorp Limited
For further information:
visit our website at www.middlefield.com or contact:
W. Garth Jestley
President and Chief Executive Officer