TORONTO, Sept. 6, 2012 /CNW/ - Leon's Furniture Limited announced today that it has received approval for a common share repurchase programme on The Toronto Stock Exchange. The Company intends to repurchase for cancellation a maximum of 3,493,537 Common Shares representing 4.99% of the total number of its 70,010,775 issued and outstanding Common Shares as at August 31, 2012. The average daily trading volume for the six months ending August 31, 2012 was 6,708. Therefore, other than block purchase exemptions, daily purchases will be limited to 1,677 common shares.
From September 10, 2011 to August 31, 2012, Leon's purchased 130,362 Common Shares pursuant to a normal course issuer bid at an average purchase price of $11.93.
The bid will commence on September 10, 2012 and terminate on the earliest of the purchase of 3,493,537 Common Shares, the issuer providing a notice of termination, and September 9, 2013.
Purchases will be executed through the facilities of the Toronto Stock Exchange at market price under the normal course issuer bid rules of the Toronto Stock Exchange.
The Company believes that the repurchases may enhance liquidity for shareholders while providing the Company with the opportunity to buy back its shares when it appears attractive to do so.
SOURCE: Leon's Furniture Limited
For further information:
please contact Dominic Scarangella, Chief Financial Officer, at 416-243-4073.