VICTORIA, Dec. 17, 2018 /CNW/ - Vecima Networks Inc. ("Vecima" or the "Corporation") (TSX:VCM), announced today that it has filed a notice of intention with the Toronto Stock Exchange (the "TSX") to acquire for cancellation, by way of normal course issuer bid (the "Bid"), up to 600,000 Common Shares of the Corporation (the "Shares"), which, at the date hereof, represents approximately 2.7% of the issued and outstanding Shares and approximately 9.7% of the total public float of the Corporation. This Bid was approved by the TSX. The directors of Vecima believes the underlying value of the Corporation's common shares may not be reflected in the current or future market price of its common shares and has therefore decided to undertake the Bid.
As of December 14, 2018, the Corporation had 22,364,443 issued and outstanding common shares. Vecima's average daily trading volume for the 6-month period ending November 30, 2018, excluding common shares repurchased by the Corporation, was 4,515. Daily purchases will be limited to 1,128 common shares other than block purchases. Vecima anticipates the Bid will commence on December 20, 2018 and terminate on December 19, 2019. An automatic purchase plan has been put into place and will be effected at the commencement of the Bid. During its last normal course issuer bid which ended November 29, 2018 the Corporation was approved to purchase up to 600,000 of its common shares but purchased 113,860 of its common shares at an average price of $8.59; all of these shares were purchased solely through the facilities of the TSX.
Purchases pursuant to the Bid will be effected solely through the facilities of the TSX and other Canadian trading platforms, purchases and payment for the Shares will be made by the Corporation in accordance with TSX requirements and the price which Vecima will pay for any Shares acquired under the Bid will be the market price for the common shares at the time of acquisition.
About Vecima Networks
Vecima Networks Inc. (TSX:VCM) is a globally recognized leader in creating breakthrough technology solutions that empower network service providers to connect people and enterprises to information and entertainment worldwide. Vecima products for the cable industry allow service providers a cost-effective Last Mile Solution® for both video and broadband access, especially in the demanding business services market segment. Vecima's Video Content Delivery and Storage business, operated under the Concurrent brand, includes solutions and software for industries and customers that focus on storing, protecting, transforming, and delivering high value media assets. Vecima also provides fleet managers the key information and analytics they require to optimally manage their business under the Contigo, NERO Global Tracking, and FleetLynx brands. For more information, please visit www.vecima.com.
SOURCE Vecima Networks Inc.
For further information: Vecima Networks, Investor Relations - 250-881-1982, [email protected]