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Whitecap Resources Inc. Receives TSX Approval for Renewed Normal Course Issuer Bid and Confirms Monthly Dividend for May of $0.0257 Per Share

T.WCP

Canada NewsWire

CALGARY, May 16, 2018 /CNW/ - Whitecap Resources Inc. ("Whitecap") (TSX: WCP) is pleased to announce that the Toronto Stock Exchange (the "TSX") has accepted the notice of Whitecap's intention to commence a normal course issuer bid (the "NCIB"). Whitecap previously purchased an aggregate of 2,502,322 common shares at a weighted average price per share of $8.76 under a normal course issuer bid that runs between May 18, 2017 to May 17, 2018.

The NCIB allows Whitecap to purchase up to 20,864,806 common shares (representing 5% of its 417,296,134 outstanding common shares as of May 4, 2018) over a period of twelve months commencing on May 18, 2018. The NCIB will expire no later than May 17, 2019. Under the NCIB, common shares may be repurchased in open market transactions on the TSX and other alternative trading platforms in Canada and in accordance with the rules of the TSX governing NCIB's. The total number of common shares Whitecap is permitted to purchase is subject to a daily purchase limit of 455,083 common shares, representing 25% of the average daily trading volume of 1,820,333 common shares on the TSX calculated for the six-month period ended April 30, 2018, however, Whitecap may make one block purchase per calendar week which exceeds the daily repurchase restrictions.  Any common shares that are purchased under the NCIB will be cancelled upon their purchase by Whitecap.

Whitecap believes that at times, the prevailing share price does not reflect the underlying value of the common shares and the repurchase of its common shares for cancellation represents an attractive opportunity to enhance Whitecap's per share metrics and thereby increase the underlying value of its common shares to its shareholders. Whitecap will use the NCIB as another tool to enhance total long-term shareholder returns and will be used in conjunction with management's disciplined free funds flow capital allocation strategy.

In addition, Whitecap is pleased to announce that a cash dividend of Cdn. $0.0257 per common share in respect of May operations will be paid on June 15, 2018 to shareholders of record on May 31, 2018.  This dividend is an eligible dividend for the purposes of the Income Tax Act (Canada).

Note Regarding Forward-Looking Statements

Certain information regarding Whitecap set forth in this document contains forward-looking statements that involve substantial known and unknown risks and uncertainties. The use of any of the words "plan", "expect", "intend", "believe", "should", "anticipate" or other similar words, or statements that certain events or conditions "may" or "will" occur are intended to identify forward-looking statements. These statements are only predictions and actual events or results may differ materially. Many factors could cause Whitecap's actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, Whitecap. In particular, forward-looking statements contained in this document include, but are not limited to, statements with respect to the anticipated advantages to shareholders of the NCIB. These forward-looking statements are subject to numerous risks and uncertainties, including but not limited to, the risk that the anticipated benefits of the NCIB may not be achieved. Readers are cautioned that the foregoing list of factors is not exhaustive. Although the forward-looking statements contained in this document are based upon assumptions which Management of Whitecap believes to be reasonable, Whitecap cannot assure investors that actual results will be consistent with these forward-looking statements. With respect to forward-looking statements contained in this document, Whitecap has made assumptions regarding, among other things, the ability of Whitecap to achieve the benefits of the NCIB. These forward-looking statements are made as of the date of this document and Whitecap disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

SOURCE Whitecap Resources Inc.

View original content: http://www.newswire.ca/en/releases/archive/May2018/16/c8926.html



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