MARKHAM, ON, April 24, 2020 /CNW/ - Enghouse Systems Limited ("Enghouse" or the "Company") (TSX:ENGH) today announced its intention to renew its normal course issuer bid for its common shares ("Common Shares") in accordance with the requirements of the Toronto Stock Exchange.
Enghouse continues to have significant cash reserves and positive cash flow. The Company is renewing its normal course issuer bid program, as it has done for many years, because it believes that from time to time the market price of its Common Shares may be attractive and that at such times, the purchase of Common Shares would be in the best interest of the Company and an appropriate use of corporate funds.
The Company may purchase up to a maximum of 4,188,532 Common Shares representing on April 21, 2020 approximately 10% of the publicly listed float of 41,885,324 Common Shares. As of close of business on April 21, 2020, the Company had 54,996,924 outstanding Common Shares. The price at which the Company may purchase such shares will be the market price at the time of acquisition and any Common Shares purchased under the bid will be cancelled. The actual number of Common Shares that may be purchased and the timing of any such purchases will be determined by the Company, subject to price, trading volume and other market considerations. Daily purchases will be limited to 28,381 Common Shares, other than block purchases. An automatic purchase plan will not be put in place at the commencement of the bid but may be put in place at some point in the future.
The bid will commence on April 30, 2020 and will terminate on April 29, 2021, unless the maximum number of shares that may be purchased thereunder has been acquired before that time. The purchases will be made through the facilities of the Toronto Stock Exchange and/or any alternative Canadian trading system. Pursuant to a previous notice of intention to conduct a normal course issuer bid, under which the Company sought and received approval from the TSX to purchase up to 3,936,892 Common Shares for the period of April 30, 2019 to April 29, 2020, the Company did not acquire any of its Common Shares.
Enghouse Systems Limited is a leading global provider of enterprise software solutions serving a variety of vertical markets. Its strategy is to build a more diverse enterprise software company through strategic acquisitions and managed growth within its business sectors: Contact Center/Video Collaboration, Networks (OSS/BSS) and Transportation/Public Safety. Enghouse Systems shares are listed on the Toronto Stock Exchange (TSX:ENGH). Further information about Enghouse is available at www.enghouse.com.
SOURCE Enghouse Systems Limited
© Canada Newswire, source Canada Newswire English