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VANCOUVER, BC, Feb. 21, 2023 /CNW/ - Solution Financial Inc. (TSX: SFI) ("Solution" or the "Company") a provider of luxury automotive and yacht leasing in Western Canada, announced today that it has received approval from the Toronto Stock Exchange ("TSX") for the renewal of its Normal Course Issuer Bid (the "RenewedNCIB"),
Under the Renewed NCIB, a total of up to 4,364,513 common shares may be purchased through the facilities of the TSX and may also be made through alternative Canadian trading systems, representing 5% of the issued and outstanding common shares of the Company, and any such purchases will be at market prices. As at February 17, 2023, Solution had 87,290,273 common shares issued and outstanding.
The term of the Renewed NCIB will commence on February 27, 2023 and continue until February 26, 2024, when the Renewed NCIB expires, or such earlier date as the Company completes its purchases pursuant to the Renewed NCIB and notice of intention filed with the TSX.
The Company will continue to engage PI Financial Corp. ("PI") to act as the broker through which the Renewed NCIB will be conducted including entering into an automatic share purchase plan with PI.
All purchases of common shares under the Renewed NCIB may be made on the TSX, at the market price at the time of purchase in accordance with the rules and policies of the TSX. The rules and policies of the TSX contain restrictions on the number of common shares that can be purchased under the Renewed NCIB, based on the average daily trading volumes on the TSX.
As a result of the restrictions, the maximum number of common shares which can be purchased per day during the Renewed NCIB on the TSX is 1,980 based on 25% of the average daily trading volume on the TSX for the prior six months (being 7,920 Shares on the TSX).
Solution's most recent normal course issuer bid (the "2022 NCIB") commenced on February 7, 2022, for the purchase of up to 4,472,213 common shares, and expired on February 6, 2023. Solution repurchased 2,154,000 common shares for cancellation under the 2022 NCIB, at a volume weighted average repurchase price per common share of $0.34. All repurchases were made through the facilities of the TSX.
The Company reserves the right to terminate the Renewed NCIB earlier if it feels it is appropriate to do so. Solution believes that the purchase of its common shares at recent market prices is an appropriate investment by Solution since, in its view, recent market prices do not reflect the underlying value of Solution's business. The Renewed NCIB will provide Solution with the flexibility to purchase common shares as part of its capital management strategy which is designed to maintain healthy regulatory capital ratios while balancing the objective of generating shareholder value.
All common shares acquired by Solution under the Renewed NCIB will be cancelled. Repurchases will be subject to compliance with applicable Canadian securities laws.
About Solution
Solution Financial was incorporated in 2004 and specializes in sourcing and leasing luxury and exotic vehicles, yachts and other high value assets. Solution works with a select group of automotive and marine dealerships providing lending solutions to clients who cannot obtain leasing terms with traditional Canadian financial institutions or other sub-prime lenders. Typical customers include new immigrants, business owners and international students. Solution Financial provides a unique leasing experience whereby it partners with its clients to help them navigate the challenges of acquiring, insuring, maintaining and upgrading vehicles and luxury assets more frequently than most leasing companies.
ON BEHALF OF THE BOARD
(signed) "Bryan Pang"
Brian Pang
President, CEO and Director
The TSX Venture Exchange has neither approved nor disapproved the contents of this press release. Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Solution Financial Inc.
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