Just Announced: New, Normal Course Issuer Bid ARITZIA ANNOUNCES NORMAL COURSE ISSUER BID
Dow Jones - Updated 2 minutes ago
VANCOUVER, BC, Jan. 18, 2024 /CNW/ - Aritzia Inc. ("Aritzia" or the "Company") (TSX: ATZ) today announced that the Toronto Stock Exchange ("TSX") has accepted its notice of intention to proceed with a normal course issuer bid ("NCIB").
Under the NCIB, Aritzia may purchase up to 3,515,740 of its subordinate voting shares ("Shares"), representing approximately 5% of the public float of 70,314,808 Shares, during the twelve-month period commencing January 22, 2024 and ending January 21, 2025. As at January 8, 2024, there were 90,013,301 Shares issued and outstanding. Under the NCIB, other than purchases made under block purchase exemptions, Aritzia may purchase up to 116,671 Shares on the TSX during any trading day, which represents approximately 25% of the average daily trading volume on the TSX for the most recently completed six calendar months (being 466,685 Shares) prior to the TSX's acceptance of the notice of the NCIB. Any Shares purchased under the NCIB will be cancelled.
Aritzia's Board of Directors believes that an NCIB represents an appropriate and desirable use of its available cash, after prioritizing investments in boutiques and strategic infrastructure, to increase shareholder value and is in the best interest of Aritzia and its shareholders. As at November 26, 2023, the Company had approximately $140.8 million of cash and cash equivalents. Any purchases made under the NCIB will be made by Aritzia subject to favourable market conditions at the prevailing market price at the time of acquisition through the facilities of the TSX and/or alternative Canadian trading systems.
Although the Company presently intends to purchase Shares under its NCIB, there can be no assurances that any such purchases will be completed. Any purchases made under NCIB will be made by Aritzia at the prevailing market price at the time of acquisition and through the facilities of the TSX or alternative Canadian trading systems, as applicable. The Company may rely on an automatic purchase plan during the NCIB. The automatic purchase plan would allow for purchases by the Company of Shares during certain pre-determined blackout periods, subject to certain parameters and approval of the TSX.
Pursuant to the Company's prior normal course issuer bid, the Company sought and received approval from the TSX to purchase up to 3,860,745 of its Shares for the period from January 20, 2023 to January 19, 2024. As of January 17, 2024, the Company has repurchased a total of 1,089,641 Shares on the market for cancellation at a volume weighted average price of $27.51 per Share for total cash consideration of $30.0 million under that prior bid.
Aritzia is a design house with an innovative global platform. We are creators and purveyors of Everyday Luxury, home to an extensive portfolio of exclusive brands for every function and individual aesthetic. We're about good design, quality materials, and timeless style -- all with the wellbeing of our People and Planet in mind.
Founded in 1984, in Vancouver, Canada, we pride ourselves on creating immersive, highly personalized shopping experiences at aritzia.com and in our 115+ boutiques throughout North America - for everyone, everywhere.