QUEBEC CITY, Jan. 8, 2014 /CNW Telbec/ - EXFO Inc. (NASDAQ: EXFO) (TSX:
EXF) announced today that its Board of Directors has authorized the
renewal of its share repurchase program, by way of a normal course
issuer bid ("NCIB") on the open market, of up to 10% (2,043,101
subordinate voting shares) of the public float (20,431,011 subordinate
voting shares as of January 1, 2014) as defined by the Toronto Stock
EXFO had 28,801,683 subordinate voting shares outstanding on January 1,
2014. As of January 1, 2014, EXFO had repurchased in the course of the
previous renewal of its NCIB a total of 502,756 shares, being 308,484
shares on the TSX at an average amount of CA$ 4.74 and 194,272 shares
on the NASDAQ at an average amount of US$ 4.65. The previous renewal of
the NCIB had been effective since November 12, 2012 and expired on
November 11, 2013.
The TSX has accepted a notice filed by EXFO of its intention to renew
its NCIB. EXFO may use cash, short-term investments and future cash
flows from operations to fund the repurchase of shares. Repurchases
under the bid will be made on the open market, through the facilities
of the TSX and NASDAQ Global Market, at the prevailing market price.
The timing of such repurchases, if any, will depend on price, market
conditions and applicable regulatory requirements.
The NCIB will become effective on January 13, 2014 and end on January
12, 2015 or on an earlier date if EXFO repurchases the maximum number
of shares permitted. The average daily trading volume (ADTV) of EXFO's
subordinate voting shares was 19,305 on the TSX and 34,669 on the
NASDAQ over the last six completed calendar months. Accordingly, EXFO
is entitled to repurchase up to 25% of the ADTV on any trading day
(being 4,826 subordinate voting shares on the TSX and 8,667 subordinate
voting shares on the NASDAQ) or pursuant to the applicable rules of the
TSX. The program does not require the company to repurchase a minimum
number of shares and it may be modified, suspended or terminated at any
time without prior notice. All shares acquired by EXFO under the bid
will be cancelled.
EXFO believes that the repurchase of some of its subordinate voting
shares is an appropriate and desirable use of its available cash.
Consequently, EXFO believes that the offer is made in the best
interests of the company and its shareholders.
Listed on the NASDAQ and TSX stock exchanges, EXFO is among the leading
providers of next-generation test and service assurance solutions for
wireline and wireless network operators and equipment manufacturers in
the global telecommunications industry. The company offers innovative
solutions for the development, installation, management and maintenance
of converged, IP fixed and mobile networks—from the core to the edge.
Key technologies supported include 3G, 4G/LTE, IMS, Ethernet, OTN,
FTTx, VDSL2, ADSL2+ and various optical technologies accounting for
more than 35% of the portable fiber-optic test market. EXFO has a staff
of approximately 1600 people in 25 countries, supporting more than 2000
customers worldwide. For more information, visit www.EXFO.com and follow us on the EXFO Blog, Twitter, LinkedIn, Facebook, Google+ and YouTube.
This press release contains forward-looking statements within the
meaning of the U.S. Private Securities Litigation Reform Act of 1995,
and we intend that such forward-looking statements be subject to the
safe harbors created thereby. Forward-looking statements are statements
other than historical information or statements of current condition.
Words such as may, will, expect, believe, anticipate, intend, could,
estimate, continue, or the negative or comparable terminology are
intended to identify forward-looking statements. In addition,
any statements that refer to expectations, projections or other
characterizations of future events and circumstances are considered
forward-looking statements. They are not guarantees of future
performance and involve risks and uncertainties. Actual results may
differ materially from those in forward-looking statements due to
various factors including macro-economic uncertainty as well as capital
spending and network deployment levels in the telecommunications
industry (including our ability to quickly adapt cost structures with
anticipated levels of business and our ability to manage inventory
levels with market demand); future economic, competitive, financial
and market conditions; consolidation in the global telecommunications
test and service assurance industry and increased competition among
vendors; limited visibility with regards to customer orders and the
timing of such orders; fluctuating exchange rates; concentration of
sales; timely release and market acceptance of our new products and
other upcoming products; our ability to successfully integrate our
acquired and to-be-acquired businesses; our ability to successfully
expand international operations; and the retention of key technical and
management personnel. Assumptions relating to the foregoing involve
judgments and risks, all of which are difficult or impossible to
predict and many of which are beyond our control. Other risk factors
that may affect our future performance and operations are detailed
in our Annual Report, on Form 20-F, and our other filings with the
U.S. Securities and Exchange Commission and the Canadian securities
commissions. We believe that the expectations reflected in the
forward-looking statements are reasonable based on information
currently available to us, but we cannot assure you that
the expectations will prove to have been correct. Accordingly, you
should not place undue reliance on these forward-looking statements.
These statements speak only as of the date of this document. Unless
required by law or applicable regulations, we undertake no obligation
to revise or update any of them to reflect events or circumstances that
occur after the date of this document.
SOURCE: EXFO inc.
For further information:
Director, Investor Relations
(418) 683-0913, Ext. 23733