TORONTO, Nov. 9, 2011 /CNW/ - Tucows Inc. (NYSE AMEX: TCX, TSX:TC) today
announced that its Board of Directors has approved a stock buyback
program to repurchase up to $10 million of Tucows common stock. Tucows
has also filed a notice of intention with the Toronto Stock Exchange
("TSX") to make a normal course issuer bid through the facilities of
the TSX. Tucows will have the option to repurchase its shares of
common stock either through the facilities of the TSX or the NYSE AMEX
The notice filed with the TSX provides that Tucows may, during the
twelve-month period commencing November 15, 2011 and ending November
14, 2012, repurchase up to 3,840,000 shares of its common stock, which
amount represents approximately 10% of the public float of Tucows. For purposes of any repurchases made on the TSX, Tucows may only
purchase up to a maximum of 1,000 shares in any daily trading session,
which number represents 25% of the average daily trading volume on the
TSX over the six month period ending October 31, 2011, unless the block
purchase exception is relied upon. As of November 9, 2011 there were
53,477,524 common shares outstanding. All shares purchased by Tucows
under the normal course issuer bid will be cancelled.
The timing and exact number of common shares purchased will be at
Tucows' discretion and will depend on available cash and market
conditions. Tucows may suspend or discontinue the repurchases at any
time, including in the event Tucows would be deemed to be making an
acquisition of its own shares under Rule 13e-3 of the Securities
Exchange Act of 1934, as amended. Subject to applicable securities laws
and stock exchange rules, all purchases will occur through the open
market and may be in large block purchases. Tucows does not intend to
purchase its shares from its management team or other insiders.
While Tucows does not intend to purchase its shares from its management
team or other insiders, sales by such persons through the facilities of
NYSE AMEX or the TSX may occur if the circumstances of any such person
or entity change or any such person or entity makes a decision
unrelated to these normal course purchases. The benefits to any such
person or entity whose shares are purchased would be the same as the
benefits available to all other holders whose shares are purchased by
Tucows in connection with the normal course issuer bid.
During Tucows' previous stock buyback program, which ended on September
9, 2010, Tucows repurchased 3,409,300 common shares.
NO STOCK EXCHANGE, SECURITIES COMMISSION OR OTHER REGULATORY AUTHORITY
HAS APPROVED OR DISAPPROVED THE INFORMATION CONTAINED HEREIN.
Tucows is a global Internet services company. OpenSRS manages over
eleven million domain names and millions of email boxes through a
reseller network of over 12,000 web hosts and ISPs. Hover is the
easiest way for individuals and small businesses to manage their domain
names and email addresses. YummyNames owns premium domain names that
generate revenue through advertising or resale. Butterscotch.com is an
online video network building on the foundation of Tucows.com. More
information can be found at http://tucowsinc.com.
This news release contains, in addition to historical information,
forward-looking statements related to such matters as the timing and
total number of shares to be purchased under the proposed buyback
program. Such statements are based on management's current expectations
and are subject to a number of uncertainties and risks, which could
cause actual results to differ materially from those described in the
forward-looking statements. Information about potential factors that
could affect Tucows' business, results of operations and financial
condition is included in the Risk Factors sections of Tucows' filings
with the Securities and Exchange Commission. All forward-looking
statements included in this document are based on information available
to Tucows as of the date of this document and, except to the extent
Tucows may be required to update such information under any applicable
securities laws, Tucows assumes no obligation to update such
TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All
other trademarks and service marks are the properties of their
SOURCE Tucows Inc.
For further information:
TMX Equicom for Tucows Inc.
(416) 815-0700 ext. 257