MONTREAL, Sept. 18, 2024 /CNW/ -- Tecsys Inc. ("Tecsys" or the "Company") (TSX: TCS) announces that the Toronto Stock Exchange (the "TSX") has approved the renewal of the Company's normal course issuer bid ("NCIB").
Tecsys believes that the market value of its common shares ("Shares") may not always fully reflect the full value of the Company and, in such circumstances, purchases under the NCIB may represent an appropriate and desirable use of its available funds. Such purchases will increase the proportional share interest of those shareholders who retain their Shares. Any purchases made by Tecsys under the NCIB will be made by Tecsys at the prevailing market price at the time of acquisition, plus brokerage fees, through the facilities of the TSX and/or alternative Canadian trading systems or as otherwise permitted by applicable securities laws.
Pursuant to the NCIB, during the twelve-month period commencing September 20, 2024, and ending September 19, 2025, Tecsys intends to purchase up to 500,000 Shares, which represents 3.4% of its 14,788,706 issued and outstanding shares as of September 16, 2024. Under the NCIB, other than purchases made under block purchase exemptions, Tecsys may purchase up to 2,117 Shares on the TSX during any trading day, which represents 25% of 8,469, being the average daily trading volume for the six months ended August 31, 2024, excluding shares purchased under the NCIB during that time. Any Shares purchased under the NCIB will be cancelled.
Share repurchases made pursuant to the Company's NCIB will be predicated upon maintaining a strong balance sheet, performance of the business, and the availability and attractiveness of alternative capital investment opportunities. The actual number of Shares purchased under the NCIB, the timing of the purchases, and the price at which the Shares are acquired will depend upon a variety of factors including future market conditions.
Tecsys has established an automatic securities purchase plan with a designated broker which will allow for the purchase for cancellation of Shares under the NCIB, subject to certain trading parameters, by its designated broker during times when Tecsys would ordinarily not be active in the market due to applicable regulatory restrictions or self-imposed blackout periods. Outside of these periods, the Shares will be repurchased by Tecsys at its discretion under the NCIB.
Under its prior normal course issuer bid ("Prior NCIB"), which commenced on September 14, 2023, and ended September 13, 2024, the Company sought and received approval from the TSX to purchase up to 500,000 common shares. The Company purchased 274,600 common shares under the Prior NCIB at a weighted average price of $35.40 per common share through the facilities of the TSX, other Canadian stock exchanges and/or alternative Canadian trading systems or as otherwise permitted by applicable securities laws.
About Tecsys
Tecsys is a global provider of advanced supply chain solutions. With a commitment to innovation and customer success, the company equips organizations with the essential software, technology and expertise needed for operational excellence and competitive advantage. Its cloud solutions serve a diverse range of industries, including healthcare, distribution and converging commerce, across multiple complex, regulated and high-volume markets. Built on the Itopia® low-code application platform, Tecsys' offerings include enterprise resource planning, warehouse management, consolidated service management, distribution and transportation management, supply management at the point of use and order management solutions. Tecsys provides critical data insights and control across the supply chain, ensuring that organizations are agile, responsive and scalable.
Tecsys is publicly traded on the Toronto Stock Exchange under the ticker symbol TCS. For more about Tecsys and its solutions, please visit www.tecsys.com.
Forward Looking Statements
The statements in this news release relating to matters that are not historical fact are forward looking statements that are based on management's beliefs and assumptions. Such statements are not guarantees of future performance and are subject to a number of uncertainties, including but not limited to future economic conditions, the markets that Tecsys Inc. serves, the actions of competitors, major new technological trends, and other factors beyond the control of Tecsys Inc., which could cause actual results to differ materially from such statements. More information about the risks and uncertainties associated with Tecsys Inc.'s business can be found in the MD&A section of the Company's annual report and the most recently filed annual information form. These documents have been filed with the Canadian securities commissions and are available on our website (www.tecsys.com) and on SEDAR+ (www.sedarplus.ca).
Copyright © Tecsys Inc. 2024. All names, trademarks, products, and services mentioned are registered or unregistered trademarks of their respective owners.
SOURCE Tecsys Inc.
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