TORONTO, May 17, 2016 /CNW/ - Callidus Capital Corporation (TSX:CBL), ("Callidus" or the "Company"), today announced that its Board of Directors has approved an almost 50% increase in the regular dividend payable to shareholders from $0.70 per common share per year to $1.00 per common share per year, or $0.0833 per common share per month. The dividend will continue to be paid monthly to the holders of Callidus' outstanding common shares of record as of the close of business on the last business day of each month.
Callidus also announced that given the success of its 2015 Normal Course Issuer Bid, it will be submitting a notice of intention to undertake a normal course issuer bid to the Toronto Stock Exchange ("TSX") in connection with the purchase by Callidus of up to 2,554,564 of its common shares, representing 5% of the 51,091,287 common shares comprising Callidus' total issued and outstanding common shares as of May 16, 2016. Callidus' current normal course issuer bid expires on May 18, 2016. Callidus purchased a total of 2,561,396 common shares under the current normal course issuer bid at a volume weighted average price of $13.33.
All common shares purchased by Callidus will be purchased on the open market through the facilities of the TSX in accordance with the rules, regulations and policies of the TSX and will be cancelled. Callidus currently intends to purchase shares under the bid to a maximum price of $16.50 per share.
The normal course issuer bid remains subject to the approval of the TSX and will begin on the date that is two trading days after the TSX's approval and will be open for a maximum period of 12 months. A further press release with additional details of the normal course issuer bid will be issued upon approval of the bid by the TSX.
The foregoing measures are consistent with Callidus' previously announced intention to use its cash resources in the manner that will provide the maximum benefit to Callidus' continuing shareholders.
About Callidus Capital Corporation
Established in 2003, Callidus Capital Corporation is a Canadian company that specializes in innovative and creative financing solutions for companies that are unable to obtain adequate financing from conventional lending institutions. Unlike conventional lending institutions who demand a long list of covenants and make credit decisions based on cash flow and projections, Callidus credit facilities have few, if any, covenants and are based on the value of the company's assets, its enterprise value and borrowing needs. Callidus employs a proprietary system of monitoring collateral and exercising control over the cash inflows and outflows of each borrower, enabling Callidus to very effectively manage risk of loss. Further information is available on our website, www.calliduscapital.ca.
SOURCE Callidus Capital Corporation
For further information: Paula Myson, (416) 945-3226, [email protected]