BURLINGTON, ON, March 31, 2020 /CNW/ - EcoSynthetix Inc. (TSX: ECO) ("EcoSynthetix" or the "Company"), a renewable chemicals company that produces a portfolio of commercially proven bio-based products, announced today that it has implemented an automatic securities purchase plan (the "Automatic Repurchase Plan") with its designated broker in order to facilitate the purchases of its common shares (the "Shares") under its previously announced normal course issued bid ("NCIB") which commenced on May 13, 2019 and expires on May 12, 2020. Under the Automatic Repurchase Plan, the Company's designated broker may purchase Common Shares pursuant to the NCIB at times when the Company ordinarily would not be active in the market due to regulatory restrictions or self-imposed blackout periods. Purchases made pursuant to the Automatic Repurchase Plan, if any, will be made by the Company's designated broker based upon the parameters prescribed by the Toronto Stock Exchange (the "TSX"), applicable Canadian securities laws and the terms of the written agreement between the Company and its designated broker. The Automatic Repurchase Plan constitutes an "automatic plan" for the purposes of applicable Canadian securities legislation and has been pre-cleared by the TSX.
The Automatic Repurchase Plan will be effective as of March 31, 2020.
Purchases under the NCIB will continue be made through the facilities of the TSX or through a Canadian alternative trading system and in accordance with applicable regulatory requirements at a price per Share representative of the market price at the time of acquisition.
Pursuant to the terms of the NCIB, EcoSynthetix will not acquire on any given trading day more than 25% of the average daily trading volume of Shares for the six-month period ending April 30, 2019, being 23,567 Shares, other than block purchase exceptions. The daily maximum shall be subject to the Company's ability to make one block purchase of Shares per calendar week that exceeds such limits. All Shares purchased under the NCIB will be cancelled upon their purchase. As at March 26, 2020, there were 57,694,013 Shares issued and outstanding. EcoSynthetix intends to fund the purchases out of its available resources.
About EcoSynthetix Inc. (www.ecosynthetix.com)
EcoSynthetix offers a range of sustainable engineered biopolymers that allow customers to reduce their use of harmful materials, such as formaldehyde and styrene-based chemicals. The Company's flagship products, DuraBind™ and EcoSphere®, are used to manufacture wood composites, paper and packaging, and enable performance improvements, economic benefits and sustainability. The Company is publicly traded on the Toronto Stock Exchange (T:ECO).
Certain statements in this Press Release constitute "forward-looking" statements that involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance, objectives or achievements of the Company, or industry results, to be materially different from any future results, performance, objectives or achievements expressed or implied by such forward looking statements. The forward-looking statements in this Press Release include, but are not limited to, statements regarding the number of Shares to be purchased under the NCIB, if any, and the timing of any such purchases, the Company's plans to execute its commercial strategy, convert late-stage industrial trial prospects into customers and expand the number of lines and the volumes at existing customers, and other statements regarding the Company's plans and expectations in 2020. These statements reflect our current views regarding future events and operating performance and are based on information currently available to us, and speak only as of the date of this Press Release. These forward-looking statements involve a number of risks, uncertainties and assumptions and should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such performance or results will be achieved. Those assumptions and risks include, but are not limited to, the Company's ability to successfully allocate capital as needed and to develop new products, as well as the fact that our results of operations and business outlook are subject to significant risk, volatility and uncertainty. Many factors could cause our actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including the factors identified in the "Risk Factors" section of the Company's Annual Information Form dated March 2, 2020. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described in this Press Release as intended, planned, anticipated, believed, estimated or expected. Unless required by applicable securities law, we do not intend and do not assume any obligation to update these forward-looking statements
SOURCE EcoSynthetix Inc.
For further information: Investor Relations, Ross Marshall, Phone: (416) 526-1563, E-mail: [email protected]