MONTREAL, Jan. 22, 2014 /CNW Telbec/ - Dollarama Inc. (TSX: DOL)
("Dollarama" or the "Corporation") announced today that it received
approval from the Toronto Stock Exchange ("TSX") to amend its normal
course issuer bid ("NCIB") in order to increase the maximum number of
common shares that may be repurchased from 3,364,523 common shares, or
5% of the public float as at May 31, 2013 (the reference date for the
NCIB), to 6,729,046 common shares, or 10% of the public float. No other
terms of the NCIB have been amended.
The NCIB - which began on June 17, 2013 and will end no later than
June 16, 2014 - is conducted through the facilities of the TSX or
alternative trading systems, if eligible, and conforms to their
regulations. Purchases under the NCIB are made by means of open market
transactions or such other means as the TSX or a securities regulatory
authority may permit, including pre-arranged crosses, exempt offers and
private agreements under an issuer bid exemption order issued by a
securities regulatory authority.
Under TSX rules, Dollarama is allowed to purchase daily, through the
facilities of the TSX, a maximum of 66,871 common shares representing
25% of the average daily trading volume, as calculated per the TSX
rules. In addition, Dollarama may make, once per week, a block purchase
of common shares not directly or indirectly owned by insiders of
Dollarama, in accordance with TSX rules. All shares purchased pursuant
to the NCIB are cancelled.
The automatic purchase plan agreement ("APP") entered into with a broker
on June 12, 2013 also remains unchanged. The APP allows for the
purchase of common shares under the NCIB at times when Dollarama
ordinarily would not be active in the market due to self-imposed
trading blackout periods. Outside of these pre-determined blackout
periods, common shares are purchased in accordance with management's
discretion.
During the period from June 17, 2013 to January 17, 2014, Dollarama
purchased and cancelled a total of 3,027,218 common shares,
representing 4.50% of the public float as at May 31, 2013, at a
weighted average price of $77.42 per common share.
The Board of Directors of Dollarama believes that the purchase by
Dollarama of its common shares represents an appropriate and desirable
use of its available cash to increase shareholder value.
About Dollarama
Dollarama is Canada's leading dollar store operator with 847 locations
across the country. Our stores provide customers with compelling value
in convenient locations, including metropolitan areas, mid-sized cities
and small towns. Dollarama aims to provide customers with a consistent
shopping experience, offering a broad assortment of everyday consumer
products, general merchandise and seasonal items. Products are
currently sold in individual or multiple units at select fixed price
points up to $3.00.
Forward-Looking Statements
Certain statements in this news release about our current and future
plans, expectations and intentions, results, levels of activity,
performance, goals or achievements or any other future events or
developments constitute forward-looking statements. The words "may",
"will", "would", "should", "could", "expects", "plans", "intends",
"trends", "indications", "anticipates", "believes", "estimates",
"predicts", "likely" or "potential" or the negative or other variations
of these words or other comparable words or phrases, are intended to
identify forward-looking statements. Forward-looking statements are
based on information currently available to us and on estimates and
assumptions made by us in light of our experience and perception of
historical trends, current conditions and expected future developments,
as well as other factors that we believe are appropriate and reasonable
in the circumstances, but there can be no assurance that such estimates
and assumptions will prove to be correct. Many factors could cause our
actual results, level of activity, performance or achievements or
future events or developments to differ materially from those expressed
or implied by the forward-looking statements, including, without
limitation, the factors which are discussed in greater detail in the
"Risks and Uncertainties" section of the Corporation's management's
discussion and analysis (MD&A) for the fiscal year ended February 3,
2013 and in its continuous disclosure filings (available on SEDAR at www.sedar.com).
These factors are not intended to represent a complete list of the
factors that could affect us; however, they should be considered
carefully. The purpose of the forward-looking statements is to provide
the reader with a description of management's expectations regarding
the Corporation's financial performance and may not be appropriate for
other purposes; readers should not place undue reliance on
forward-looking statements made herein. Furthermore, unless otherwise
stated, the forward-looking statements contained in this news release
are made as of January 22, 2014, and we have no intention and undertake
no obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as required by law. The forward-looking statements contained in
this news release are expressly qualified by this cautionary
statement.
SOURCE Dollarama Inc.