WATERLOO, ON, Dec. 22, 2014 /CNW/ - RDM Corporation (TSX:RC), a leader in remote deposit capture (RDC) solutions, today reported that its Notice of Intention to make a Normal Course Issuer Bid (the "Bid") has been accepted by the Toronto Stock Exchange (the "TSX").
Pursuant to the Bid, RDM may purchase up to 1,083,686 common shares, representing approximately 5 per cent of the issued and outstanding common shares as of December 18, 2014. The Company may purchase the shares commencing on December 30, 2014 until December 29, 2015 or on such earlier date RDM completes its permitted purchases pursuant to the Notice or provides notice of termination of the Bid. Any purchases will be made through the facilities of the TSX at prevailing market prices in accordance with regulatory requirements.
For purposes of the TSX normal course issuer bid rules, RDM's average daily trading volume ("ADTV") for the past six months was 27,773 Common Shares. As a result, RDM will be subject to a daily repurchase restriction of 6,943 Common Shares under the Bid (being 25% of the ADTV), except where purchases are made in accordance with the "block purchase exception" of the TSX rules. RDM will cancel any common shares purchased pursuant to the Bid.
RDM's Board of Directors believes the Company's common shares are an attractive investment and that normal course purchases at recent market prices may represent an attractive investment and a desirable use of its available funds. As at December 18, 2014, the Company had 21,673,726 issued and outstanding common shares.
About RDM Corporation
RDM Corporation (www.rdmcorp.com), is a leading provider of remote deposit capture (RDC) and complex desktop remittance processing solutions designed to help clients simplify the way they do business. Four of the top ten financial institutions in the United States use RDM's payment processing solutions. RDM processes over $600 billion in payments annually and helps corporations and financial institutions increase revenue, expand market share and improve customer service for over 30,000 end-users. RDM serves 32 percent of the top 100 Fortune 500 companies including brokerage firms, big box retailers, healthcare and insurance providers, and government entities.
For over 25 years, RDM has worked with clients to provide both software and hardware solutions including web-based and mobile RDC for large corporate clients and small businesses, transactional data management, and manufactures a wide range of digital imaging scanners. RDM was recently named to the Branham300 list, which highlights the top Canadian and multinational companies servicing the Information and Communication Technology (ICT) marketplace.
This news release contains forward-looking statements. Forward-looking statements are based on estimates and assumptions made by RDM in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that RDM believes are appropriate in the circumstances. Many factors could cause RDM's actual results, performance or achievements to differ materially from those expressed or implied by forward-looking statements. Risk factors relating to RDM are discussed in the Risks and Uncertainties section of RDM's Annual Information Form and year-end Management's Discussion and Analysis. These factors should be considered carefully, and readers should not place undue reliance on RDM's forward-looking statements. RDM has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE: RDM Corporation
For further information: Randy Fowlie, President & CEO, RDM Corporation, (519) 746-8483 x340, [email protected]; Rui Malhinha, Chief Financial Officer, RDM Corporation, (519) 746-8483 x284, [email protected]