EDMONTON, May 19, 2017 /CNW/ - McCoy Global Inc. ("McCoy" or "the Corporation") (TSX:MCB) today announced that it has received approval from the Toronto Stock Exchange (the "TSX") to undertake a proposed normal course issuer bid (the "Bid") to purchase up to 1,385,212 common shares, representing approximately 5% of the issued and outstanding common shares of McCoy.
McCoy's management and board of directors believe that the current market price of its common shares does not represent the underlying value of the Corporation, and has determined that the repurchase of its common shares is a desirable use of funds and in the best interests of the Corporation and its shareholders.
Purchases under the Bid will be made through the facilities of the TSX or any Canadian alternative trading system. The period of the Bid will extend from May 24, 2017 to May 23, 2018, or an earlier date should McCoy complete its purchases. All common shares purchased under the Bid will be cancelled. The actual number of common shares purchased, the time of purchases and the price at which the common shares will be acquired will depend on future market conditions.
As at May 12, 2017, 27,704,239 common shares of McCoy were issued and outstanding. Under the rules of the TSX and subject to certain exemptions for block purchases, the maximum number of common shares that the Corporation may purchase on any one trading day is 4,496 common shares, representing 25% of the average daily trading volume of 17,987 common shares for the previous six calendar months.
The Corporation previously announced a normal course issuer bid (the "Previous Bid") on March 30, 2015, which expired on March 29, 2016. Due to market conditions, no purchases were made under the Previous Bid.
McCoy provides innovative products and services to the global energy industry. The Corporation operates internationally through direct sales and distributors, with operations in Canada, the United States of America, the United Kingdom, Singapore and the United Arab Emirates. McCoy's corporate headquarters are located in Edmonton, Alberta, Canada.
This News Release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate ", "continue ", "estimate ", "objective ", "ongoing ", "may ", "will", "project ", "should ", "believe ", "plans ", "intends" and similar expressions are intended to identify forward-looking information or statements. More particularly and without limitation, this News Release contains forward-looking statements and information concerning potential future purchases by McCoy of its common shares pursuant to the Bid. The forward-looking statements and information are based on certain key expectations and assumptions made by McCoy, including expectations and assumptions concerning fluctuations in the level of oil and gas industry capital expenditures, McCoy's ability to integrate acquired businesses and complete strategic acquisitions of additional businesses and other factors that affect demand for McCoy's products. Although McCoy believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information because McCoy can give no assurance that they will prove to be correct. By its nature, such forward-looking information is subject to various risks and uncertainties, which could cause McCoy's actual results and experience to differ materially from the anticipated results or expectations expressed. These risks and uncertainties, include, but are not limited to, fluctuations in oil and gas prices, fluctuations in the level of oil and gas industry capital expenditures and other factors that affect demand for McCoy's products, industry competition, the need to effectively integrate acquired businesses, uncertainties as to McCoy's ability to implement its business strategy effectively, labour, equipment and material costs, access to capital markets, interest and McCoy's ability to attract and retain key personnel. Additional information on these and other factors is available in continuous disclosure materials filed by McCoy with Canadian securities regulators. Readers are cautioned not to place undue reliance on this forward-looking information, which is given as of the date it is expressed in this News Release or otherwise, and to not use future-oriented information or financial outlooks for anything other than their intended purpose. McCoy undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
SOURCE McCoy Global Inc.
For further information: Mr. Jim Rakievich, President and CEO; Mr. Jacob Coonan, Senior Vice President and Chief Financial Officer; McCoy Global Inc., Phone: 1.780.453.8451, E-mail: [email protected], Website: www.mccoyglobal.com