BURNABY, BC, Dec. 21 /CNW/ - GLENTEL Inc. ("GLENTEL") has filed a Notice of Intention to Make a Normal Course Issuer Bid (the "Notice") with the Toronto Stock Exchange (the "Exchange") pursuant to which GLENTEL indicated that it intends to make a normal course issuer bid for certain of its outstanding Common Shares on the terms set forth in the Notice. At the time of filing the Notice, the Board of Directors of GLENTEL was of the belief, and continues to be of the belief, that its Common Shares have been trading in a price range that does not adequately reflect their value in relation to GLENTEL's business and its future business prospects. As a result, depending upon future price movements and other factors, GLENTEL believes that the purchase of its outstanding Common Shares may represent a desirable use of a portion of its available funds. On December 14, 2009, GLENTEL completed a previous Normal Course Issuer Bid through which it repurchased 24,800 Common Shares at a weighted average price of $11.4101.
On December 16, 2009, 11,147,370 Common Shares of GLENTEL were outstanding. In the period commencing on December 29, 2009 and ending on December 28, 2010, GLENTEL intends to acquire up to 250,000 Common Shares of GLENTEL, being 2.24% of the Common Shares outstanding as at December 16, 2009. Pursuant to the Normal Course Issuer Bid, GLENTEL will be able to purchase up to 2,525 Common Shares daily, being 25% of the average daily trading volume of 10,101 GLENTEL Common Shares, subject to prescribed exemptions.
Any shares purchased pursuant to the Notice will be cancelled. Shares will be purchased at the market price of the shares at the time of purchase and wil be purchased on behalf of GLENTEL by a registered investment dealer through the facilities of the Exchange. The funding for any purchase of Common Shares pursuant to the normal course issuer bid wil be financed out of working capital of GLENTEL. A copy of the Notice may be obtained by any shareholder, without charge, by contacting the Corporate Secretary of Glentel at the head office of Glentel or through SEDAR at www.sedar.com.
Glentel (TSX: GLN) is a leading provider of innovative and reliable telecommunications services and solutions in Canada and the United States. Founded in 1963 and headquartered in Burnaby, BC, Glentel comprises two operating divisions - Retail and Business - that service thousands of consumers and commercial telecommunications customers. Together with its divisions, the company operates more than 280 locations across Canada located in retail malls and high-pedestrian-traffic street-front locations, Costco Wholesale stores, and business centers. As the largest multi-carrier mobile phone retailer in Canada, it offers a choice of network carrier and wireless device or phone. To its business and government customers, GLENTEL offers wireless service, rental equipment, satellite and terrestrial network systems, tower sites, and wireless asset monitoring. GLENTEL operates its business under the trading names Glentel Wireless, WirelessWave, The Telephone Booth (Tbooth and la cabine T) and WIRELESS etc.
Statements in this release relating to matters that are not historical fact are forward-looking statements based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. Factors that could cause or contribute to such differences include, but are not limited to, general economic conditions, changes in technology, reliance on third-party manufacturing, managing rapid growth, limited intellectual property protection, and other risks and uncertainties described in Glentel's public filings with securities regulatory authorities.
NO STOCK EXCHANGE, SECURITIES COMMISSION, OR OTHER REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED THE INFORMATION CONTAINED HEREIN.
To secure a copy of GLENTEL's annual report, or for additional information, visit www.glentel.com or www.sedar.com.
SOURCE GLENTEL Inc.
For further information: For further information: Investor Relations Contact: Dale B. Belsher, Chief Financial Officer, Glentel Inc., (604) 415-6500; Media Contact: Shafiq Jamal, James Hoggan & Associates, (604) 742-4269, email@example.com