DRUMMONDVILLE, QC, Nov. 28, 2013 /CNW Telbec/ - CVTech Group Inc.
("CVTech" or the "Corporation") (Toronto Stock Exchange: CVT) announces
its intention to make a normal course issuer bid (the "bid").
Having obtained the approval of the Toronto Stock Exchange, CVTech may
now repurchase, for cancellation purposes, up to 2,500,000 common shares over a 12-month period beginning December 2, 2013 and
ending December 1, 2014, which represents, as at November 27, 2013,
approximately 3.49% of the Corporation's issued and outstanding common
shares calculated on a non diluted basis.
The purchases will be done only through the intermediary of the Toronto
Stock Exchange and at the market price at the time of purchase. As at
November 27, 2013, there were 71,548,541 common shares issued and
outstanding. Within the past 12 months, CVTech has purchased 886,840 of
its common shares under another bid at a weighted average price paid
per security of $1.16.
Between May 1, 2013 and October 31, 2013, the average daily trading
volume for the common shares of CVTech was 62,703 common shares.
Therefore, under the rules and policies of the Toronto Stock Exchange,
CVTech has the right to repurchase, for any one trading day, a maximum
of 15,675 common shares, which represents 25% of the average daily
Also, CVTech may purchase, once per calendar week and in addition to the
daily limit of 15,675 common shares, one block of shares (as defined by
the TSX Company Manual) not directly or indirectly owned by insiders of the Corporation, in
accordance with the rules and policies of the Toronto Stock Exchange.
The Board of Directors of the Corporation considers that it is in the
best interest of the shareholders to use a portion of Corporation's
liquidities, where available, to repurchase the Corporation's common
shares considering that the price of these common shares on the Toronto
Stock Exchange may, from time to time, be undervalued.
All repurchases of common shares made by the Corporation will be made
solely within the framework of the bid and in conformity with the rules
and policies of the Toronto Stock Exchange. However, there may be
directors, insiders or senior officers selling common shares of the
Corporation during the term of the bid. To that effect, the Corporation
has taken measures to assure that it does not repurchase the common
shares of its directors, insiders or senior officers.
OVERVIEW OF THE CORPORATION
CVTech is a company operating in the energy sector. The Corporation is a
leading provider of construction and maintenance services to the public
utility and heavy industrial markets mainly in Quebec, Ontario and the
eastern United States Through its subsidiaries, the Corporation
provides maintenance and construction services for electricity
transmission and distribution networks, substations and electrical
power houses, as well as the control of vegetation on rights-of-way for
This document may contain forward-looking statements that reflect
management's current expectations regarding future events.
Forward-looking statements are based on a number of factors and include
risks and uncertainties. Actual results may differ from forecast
results. Management assumes no obligation beyond what is required under
the law to update or revise forward-looking statements pursuant to new
information or future events.
Further information regarding CVTech is available in the SEDAR database
(www.sedar.com) and on the Corporation's website at: www.cvtech.ca.
SOURCE: CVTECH GROUP INC.
For further information:
André Laramée, MBA
President and Chief Executive Officer
Mario Trahan, CPA, CMA
Chief Financial Officer
Martin Goulet, CFA