LEVIS, QC, Dec. 16 /CNW Telbec/ - DEQ Systems Corp. (TSX-V: DEQ) ("DEQ" or the "Company"), a leading provider of table game bonusing, jackpot and loyalty solutions, announces today that the TSX Venture Exchange (the "Exchange") has approved the company's request to renew its normal course issuer bid. DEQ intends to purchase up to 3,450,000 of its common shares by way of normal course purchases on the Exchange, representing approximately 5% of the common shares issued and outstanding as of November 30, 2009 (69,589,815). During the first year of its normal course issuer bid announced on December 9, 2008, the Company purchased a total of 826,500 common shares at an average price of $0.29 per share.
DEQ believes that its common shares have traded in a price range which may not fully reflect the underlying value of such shares. As a result, depending upon future price movements and other factors, DEQ ascertains that the purchase for cancellation of its common shares may be an attractive and appropriate use of corporate funds in light of potential benefits to remaining shareholders in these current market conditions.
"Now that we are generated positive operating cash flow, it is now our duty to manage this important resource strategically", stated Earle G. Hall, President & CEO of DEQ. "With our current cash position of approximately $6 million, the increasing long-term recurring revenue contracts we are securing and our stable operating costs, this normal course issuer bid is a sound business and financial option for the company to create shareholder value."
The purchases may commence on December 21, 2009 and will terminate on December 20, 2010, or on such earlier date as DEQ will have completed its purchases or otherwise decides not to proceed with other acquisitions. The purchases will be made through the facilities of the Exchange by Canaccord Capital Corporation on behalf of the Company in accordance with the Exchange requirements.
DEQ will pay the market price of common shares on the Exchange at the time of purchase and no purchases of common shares will be made other than open-market purchases. All purchased common shares will be cancelled.
Founded in 1998, DEQ Systems Corp. (TSXV: DEQ) is a leader in the table game bonusing technology field. DEQ's patents, products and features include side bet bonusing games with progressive and random jackpot prizes, slot machine style mystery bonusing, multiple credit and denomination betting flexibility, dealer hand betting, electronic credit bank, electronic rake, baccarat hand tracking, multimedia animation and sound effects. DEQ has an extensive patent portfolio that is recognized in more than 50 countries such as the USA, Macau, Australia and Canada. DEQ's bonusing solutions and products are present in more than 200 casinos in over 30 countries. For further information, please visit www.deq.com
TSX Venture does not accept any responsibility regarding the accuracy of the information contained in this press release.
Forward-looking statements contained in this Press Release involve known and unknown risks, uncertainties and other factors that may cause actual results, performance and achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the said forward-looking statements.
SOURCE DEQ SYSTEMS CORP.
For further information: For further information: Earle G. Hall, President & CEO, DEQ Systems Corp., (418) 839-3012, firstname.lastname@example.org; Francois Proulx, Chief Financial Officer DEQ Systems Corp., (418) 839-3012, email@example.com