TORONTO, March 21, 2016 /CNW/ - Street Capital Group Inc. ("Street Capital" or the "Company") (TSX: SCB), announced today that the Toronto Stock Exchange (the "Exchange") has accepted Street Capital's notice of its intention to make a normal course issuer bid for a portion of its common shares ("Common Shares"). Street Capital's normal course issuer bid will be made in accordance with the requirements of the Exchange. Street Capital is adopting an automatic securities purchase plan in connection with its normal course issuer bid that contains parameters regarding how its Common Shares may be repurchased during times when it would ordinarily not be permitted to purchase Common Shares due to regulatory restrictions or self-imposed blackout periods.
Pursuant to the notice, Street Capital may, in the 12-month period commencing March 23, 2016, acquire for cancellation up to 2% of the total Common Shares outstanding. Based on a total of 121,892,826 Common Shares outstanding on March 9, 2016, Street Capital could acquire 2,437,857 Common Shares under its normal course issuer bid. Purchases will be made at market prices through the facilities of the Exchange. Under the normal course issuer bid, Street Capital may purchase up to 8,043 Common Shares on the Exchange during any trading day, which is 25% of 32,174 (the average daily trading volume for Street Capital's Common Shares on the Exchange for the six months ended February 29, 2016). This limitation does not apply to purchases made pursuant to block purchase exemptions. Street Capital believes that the repurchase by Street Capital of a portion of outstanding Common Shares is an appropriate use of available cash and is in the best interests of Street Capital and its shareholders.
About Street Capital Group Inc. (www.streetcapitalgroup.ca)
The Company (TSX: SCB) is a financial services company operating in residential mortgage lending through its wholly owned subsidiary Street Capital Financial Corporation (www.streetcapital.ca), one of the largest non-bank mortgage lenders in Canada. Founded in 1979 and a public company for more than a quarter century, the Company's goal is to create shareholder value by building a substantial, diversified financial services company. Street Capital Financial Corporation sources its mortgages primarily through a network of independent, high quality mortgage brokers across Canada with whom it has built relationships. Street Capital Financial Corporation offers a broad lineup of high ratio and conventional mortgages, to prime borrowers, and sells the mortgages it underwrites to top-tier financial institutions. Business revenues are almost entirely from the gain on sale of mortgages.
The statements made in this release that are not historical facts contain forward-looking information that involves risks and uncertainties. All statements, other than statements of historical facts, which address Street Capital Group Inc.'s expectations, should be considered as forward-looking statements and therefore subject to various risks and uncertainties. The words "may", "will", "could", "should", "would", "suspect", "outlook", "believe", "plan", "anticipate", "estimate", "expect", "intend", "forecast", "objective", "hope" and "continue" (or the negative thereof), and words and expressions of similar import, are intended to identify forward-looking statements.
Such statements are based on knowledge of the environment in which the Company currently operates, but because of the factors listed herein, as well as other factors beyond the Company's control, actual results may differ materially from the expectations expressed in the forward-looking statements. The Company undertakes no obligation, and does not intend, to update, revise or otherwise publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of any unanticipated events.
SOURCE Street Capital Group Inc.