MONTREAL, Dec. 5, 2013 /CNW Telbec/ - Richelieu Hardware Ltd. (TSX: RCH)
("Richelieu" or the "Corporation") announces that the Toronto Stock
Exchange has accepted its notice of intention to make a "normal course
issuer bid" to purchase up to 1,002,303 of its common shares,
representing 5% of the 20,046,061 outstanding common shares as at
November 30, 2013, through the facilities of such exchange. The
Corporation can only buy a maximum of 4,067 shares on a daily basis
(per market day), considering the average daily trading volume of
16,270 shares during the last six months of the year ending November
The number of shares that the Corporation intends to purchase and the
time of such purchases will be determined by the Corporation, at its
discretion. The purchase period will begin December 10, 2013, and end
on the earlier of December 9, 2014, or the date on which the
Corporation will have either acquired the above-stated maximum number
of shares or otherwise decided not to make any further purchases. All
the shares purchased will be cancelled by the Corporation.
The Board of Directors of Richelieu has concluded that the purchase of
common shares may represent from time to time, an appropriate use of
the Corporation's corporate funds. During the period from December 10,
2012 to November 30, 2013, the Corporation repurchased 873,000 common
shares for cancellation purpose under its normal course issuer bid, at
a weighted average price of $41.92 per share.
To the best knowledge of the Corporation, after reasonable inquiry, no
director, senior officer or any of their associates, no person acting
jointly or in concert with the Corporation, and no person holding 10%
or more of the common shares currently intends to sell common shares
under this normal course issuer bid.
Richelieu is a leading North American distributor, importer and
manufacturer of specialty hardware and complementary products. Its
products are targeted to an extensive customer base of kitchen and
bathroom cabinet, furniture, and window and door manufacturers plus the
residential and commercial woodworking industry, as well as a large
customer base of hardware retailers, including renovation superstores.
Richelieu offers customers a broad mix of high-end products sourced
from manufacturers around the world. Its product selection consists of
about 100,000 different items targeted to a base of some 70,000
customers who are served by 62 centres in North America - 35
distribution centres in Canada, 25 in the United States and two
manufacturing plants in Canada, specifically Cedan Industries Inc.
which specializes in the manufacture of a wide variety of veneer sheets
and edgebanding products and Menuiserie des Pins Ltée which
manufactures components for the window and door industry and a broad
selection of decorative mouldings.
SOURCE: Richelieu Hardware Ltd.
For further information:
Vice-President, Finance and Chief Financial Officer