TSX Approves March Networks' 2009 Normal Course Issuer Bid
OTTAWA, Dec. 2 /CNW Telbec/ - March Networks(R) Corporation (TSX:MN), a global provider of intelligent IP video solutions, announced today that the Toronto Stock Exchange (TSX) has accepted the Company's notice of intention to make a normal course issuer bid. The March Networks' Board of Directors has approved March Networks' purchase of up to 1,000,000 common shares (representing approximately 9.10% of March Networks' public float). The normal course issuer bid will commence on December 4, 2009 and will terminate on December 3, 2010 or on such earlier date as March Networks has purchased the maximum number of shares permitted under the bid. As of November 30, 2009, March Networks had 17,200,594 common shares outstanding and its public float was 10,989,740 common shares.
March Networks expects to use cash and short term investments to fund the repurchase of shares. Purchases under the bid will be made on the open market by March Networks through the facilities of the TSX and on available alternate trading systems at the prevailing market price at the time of the transaction. Purchases under the bid may be made at any time during the twelve month period subject to the rules and regulations of the TSX. All shares acquired by March Networks under the bid will be cancelled. The average daily trading volume of the common shares of March Network for the six months ended October 31, 2009 on the TSX was 24,816 common shares. In accordance with the rules of the TSX, the maximum number of common shares that can be purchased on a daily basis by the Company is 6,204 common shares (which is 25% of the average daily trading volume), subject to the block purchase exception. March Networks' previous normal course issuer bid terminated on October 14, 2008 and the Company has not repurchased any of its common shares in the past 12 months.
Management and the Board of Directors of March Networks believe that the market price of March Networks' common shares during the proposed purchase period of the bid may be such that the purchase of common shares by the Company would be an appropriate use of available funds of the Company and that the purchase of up to 1,000,000 common shares under the bid would, therefore, be in the best interests of the Company.
About March Networks
March Networks(R) (TSX:MN) is a global provider of intelligent IP video solutions. For close to a decade, the company has helped some of the world's largest commercial and government organizations transition from traditional CCTV to networked video surveillance used for advanced security, loss prevention and risk mitigation. VideoSphere(R), the company's enterprise-class video management portfolio, includes open-platform VMS software complemented by high-definition IP cameras, encoders, video analytics and recording platforms, as well as outstanding professional and managed services. March Networks systems are delivered through an extensive distribution and partner network and currently support over one million channels of video in more than 50 countries. www.marchnetworks.com.
Forward Looking Information
March Networks cautions that forward-looking information in this release is based on certain assumptions and expectations made by March Networks that may prove to be inaccurate. Assumptions made include anticipated market trading prices, customer demand for March Networks products and services, March Networks' ability to maintain and enhance existing customer relationships, as well as March Networks' ability to bring to market products currently under development.
Furthermore, March Networks cautions that forward-looking statements in this release are based on current assumptions and expectations that are subject to risks and uncertainties. Actual results may differ due to factors such as market risks and trading prices, global economic and geopolitical factors, customer demand, customer relationships, new product development, new services offerings, product shipping schedules, product mix, competitive products and services, pricing pressure, and changes in March Networks' markets specifically. The Company assumes no obligation to update or revise any forward-looking statements, except as required by law. Additional information identifying risks and uncertainties is contained in the Company's filings with the various provincial securities commissions which are available online at www.sedar.com.
SOURCE March Networks Corporation