MONTREAL, June 23, 2014 /CNW Telbec/ - Senvest Capital Inc. (the "Corporation") (TSX: SEC) announced today the acceptance by the Toronto Stock Exchange (the "TSX") of the Corporation's Notice of Intention to make a normal course issuer bid (the "NCIB"). Pursuant to the NCIB, the Corporation proposes to purchase through the facilities of the TSX from time to time, if considered advisable, up to an aggregate of 130,000 of its common shares, being approximately 4.6% of its 2,801,624 issued and outstanding common shares as of June 16, 2014. However, due to the historically low volume of trading of its common shares on the TSX, the Corporation advises that actual purchases under the NCIB may in fact be significantly less than 130,000 shares. Purchases may commence through the TSX on June 25, 2014 and will conclude on the earlier of the date on which purchases under the bid have been completed and June 24, 2015.
The average daily trading volume of the Corporation's common shares over the most recently completed six calendar months was 421 common shares. Accordingly, the Corporation is entitled to purchase, on any trading day, up to 1,000 common shares. Moreover, the Corporation is entitled, no more frequently than once per calendar week, to make block purchases of its common shares which exceed such daily limit.
The Corporation wishes to take advantage of the market trading prices of its common shares from time to time. It is the opinion of management that, from time to time, the market price of its common shares may not adequately reflect the value of the underlying assets of the Corporation. The Board of Directors of the Corporation believes that the proposed purchases may be in the best interests of the Corporation and may constitute a desirable use of corporate funds. All common shares purchased by the Corporation pursuant to the NCIB will be cancelled.
On June 25, 2013, the Corporation commenced a normal course issuer bid to purchase up to 130,000 common shares through the facilities of the TSX. Under that bid, which is scheduled to expire on June 24, 2014, the Corporation purchased and cancelled a total of 47,800 of its common shares at a weighted average price of $102.88 per common share.
Senvest Capital Inc. and its subsidiaries have business activities in merchant banking, asset management, real estate and electronic security.
SOURCE: SENVEST CAPITAL INC.
For further information: Mr. George Malikotsis, Vice-President, Finance of Senvest Capital Inc., at (514) 281-8082