NCIB news release in case you missed it Precision Announces Renewal of Normal Course Issuer Bid
CALGARY, Alberta, Aug. 20, 2021 (GLOBE NEWSWIRE) -- Precision Drilling Corporation (“Precision” or the “Company”) (TSX:PD; NYSE:PDS) announced today that the Toronto Stock Exchange (the “TSX”) has approved its intention to implement a normal course issuer bid (“NCIB”) through the facilities of the TSX, the New York Stock Exchange (the “NYSE”) and alternative trading platforms for a portion of its common shares (“Common Shares”). The NCIB effectively renews the existing NCIB, which is scheduled to terminate on August 26, 2021. Precision believes the NCIB continues to represent another tool for the Company to enhance the value of its underlying shares.
Pursuant to the renewed NCIB, the Company has been authorized by the TSX to acquire up to a maximum of 1,317,158 Common Shares, or approximately 10% of the public float as of August 13, 2021, for cancellation. Purchases under the NCIB may commence on August 27, 2021, and will terminate no later than August 26, 2022, or such earlier time as the Company completes its purchases pursuant to the NCIB or provides notice of termination.
Purchases under the NCIB will be made through the facilities of the TSX and the NYSE or alternative trading platforms and in accordance with applicable regulatory requirements at a price per Common Share representative of the market price at the time of acquisition. The number of Common Shares that can be purchased pursuant to the NCIB is subject to a current daily maximum of 35,942 Common Shares (which is equal to 25% of the average daily trading volume of 143,769 on the TSX for the six full calendar months ending July 31, 2021), subject to the Company's ability to make one block purchase of Common Shares per calendar week that exceeds such limits. All Common Shares purchased under the NCIB will be cancelled after their purchase. The Company intends to fund the purchases out of its available resources.
Pursuant to its existing NCIB, under which the Company has approval from the TSX to purchase up to 1,199,883 Common Shares (on a post-consolidation basis) for the period of August 27, 2020, to August 26, 2021, the Company has purchased 420,550 Common Shares (on a post-consolidation basis) on the TSX, NYSE and alternative trading platforms at a weighted average purchase price of CAD$24.62 per Common Share.
The Company intends to enter into an automatic securities purchase plan effective August 27, 2021, under which its broker may purchase Common Shares in connection with the NCIB. The plan will contain a prearranged set of criteria in accordance with which its broker may make Common Share purchases. These strict parameters enable the purchase of Common Shares during times when it would ordinarily not be permitted due to self-imposed blackout periods, insider trading rules or otherwise. Such plan is adopted in accordance with applicable Canadian securities laws and the requirements of Rule 10b5-1 under the
U.S. Securities Exchange Act of 1934, as amended.