TORONTO, ONTARIO--(Marketwired - March 8, 2016) - Aberdeen International Inc. (TSX:AAB) ("Aberdeen" or the "Company"), is renewing its Normal Course Issuer Bid ("NCIB"), subject to Toronto Stock Exchange ("Exchange") approval, to buy back its common shares through the facilities of the Exchange. Any purchases made pursuant to the NCIB will be made in accordance with the rules of the TSX and in some instances may be effected through alternative Canadian trading system and will be made at the market price of the common shares at the time of the acquisition.
The Board of Directors of Aberdeen believes that the underlying value of the Company is not reflected in the current market price of its common shares, and may not be so reflected at certain times during the course of the NCIB, and has thus concluded that the repurchase and cancellation of common shares pursuant to the proposed NCIB presently constitutes an appropriate use of financial resources and would be in the best interest of Aberdeen shareholders.
The maximum number of common shares that may be purchased for cancellation pursuant to the NCIB is that number of common shares that represents 10% of the common shares in the public float. Based on the 66,168,462 common shares in the public float as at March 2, 2016, the maximum number of shares to be purchased and cancelled would be 6,616,846 Aberdeen notes that the number of its shares in the public float is less than the 95,529,128 total basic issued and outstanding Aberdeen common shares as of March 2, 2016 because the public float number does not include 29,360,666 common shares held by Aberdeen reporting insiders. Daily purchases will be limited to 11,322 common shares other than block purchase exceptions. This number represents 25% of the average daily trading volume for the six month period from September 2015 to February 2016 being 45,290. The actual number of common shares that would be purchased, if any, and the timing of such purchases will be determined by Aberdeen considering market conditions, share price, its cash position, and other factors including other investment opportunities. Aberdeen had a previous NCIB, which terminated effective February 15, 2016, pursuant to which Aberdeen purchased 1,820,294 securities at a weighted average price of $0.135.
Purchases under the NCIB are permitted to commence on March 10, 2016 and will terminate on March 9, 2017 or the date upon which the maximum number of common shares have been purchased by Aberdeen pursuant to the NCIB. There cannot be any assurance as to how many common shares, if any, will ultimately be acquired by Aberdeen under the NCIB. Aberdeen intends that any shares acquired pursuant to the NCIB will be cancelled.
Aberdeen will make no purchases of common shares other than open market purchases that may be made during the period that the NCIB is outstanding.
About Aberdeen International Inc:
Aberdeen International is a private equity investor and advisor focusing on the global mining and natural resources industry. African Thunder Platinum, Aberdeen's premiere investment, is a lower-cost platinum group metals producer in South Africa's well-known Bushveld Complex. Aberdeen has further enhanced its mineral investment holdings with the acquisition of the Diablillos lithium-potash project in Argentina.
For additional information, please visit our website at www.aberdeeninternational.ca and follow us on Facebook, Twitter, LinkedIn and check out Aberdeen's YouTube Channel.
Cautionary Note
Except for statements of historical fact contained herein, the information in this press release constitutes "forward - looking information" within the meaning of Canadian securities law. Such forward-looking information may be identified by words such as "plans", "proposes", "estimates", "intends", "expects", "believes", "may", "will" and include without limitation, statements regarding the anticipated timing with respect to normal course issuer bid, the ability of the Company to generate additional value for shareholders as a result of the normal course issuer bid, past success as an indicator of future success; the appreciation of their share price; the Company's plan of business operations; and anticipated returns. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, metal prices, competition, financing risks, acquisition risks, risks inherent in the mining industry, and regulatory risks. Most of these factors are outside the control of the Company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the Company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.