Aimia Inc T.AIM

Use of PLM proceeds

[nozzpack]

Use of Proceeds:

 

• Aimia intends to utilize the majority of the proceeds from the PLM transaction to pursue the acquisition of majority or significant minority stakes, in one or more cash generating businesses operating in either the U.S. or Canada, which will ideally utilize the company's sizeable net operating tax losses.
• Aimia intends to allocate up to $75 million of the net proceeds towards a combination of opportunistic share buybacks and/or a tax-efficient special dividend to common shareholders.
• The company's intent is to utilize a combination of its current NCIB, plus its subsequent anticipated renewal (subject to the Toronto Stock Exchange acceptance), to enable total buybacks of up to 14 million common shares.
• The final amount of the net proceeds from the PLM transaction that could ultimately be allocated to share buybacks and/or tax-efficient special dividend to common shareholders will be subject, upon receipt of such proceeds, to the then applicable market conditions, investment opportunities and other relevant facto

[Hadituptohere]

There are roughy 70,000,000 shares not owned by Mithaq or Mittleman. At an average cost of $7 management could buy back half of those by way of open market purchases and still have a $350,000,000 war chest remaining to freely invest as they see fit. The board can freely decide what the stocks floor is now, knowing every share they pay upto $7-8 is an accretive transaction that doubly benefits you

[nozzpack]

Nothing wrong with rewarding shareholders along the lines that you suggest.