TORONTO, June 23, 2017 /CNW/ - Bank of Montreal ("BMO") (TSX:BMO)(NYSE:BMO) today
announced that the Toronto Stock Exchange ("TSX") has accepted
BMO's amended notice of intention to make a Normal Course Issuer
Bid. The notice has been amended to, among other things, permit the
repurchase by BMO of its common shares pursuant to issuer bid
exemption orders issued by securities regulatory authorities
including under specific share repurchase programs.
BMO also announced that it will purchase common shares under a
specific share repurchase program (the "Program"). BMO will enter
into an agreement (the "Agreement") with a third party to
repurchase common shares through daily purchases that will take
place between June 28, 2017, and
July 31, 2017, subject to a maximum
of 4,000,000 common shares. The Program will form part of BMO's
Normal Course Issuer Bid for up to 15,000,000 common shares (the
"NCIB") announced on April 27,
2017.
Pursuant to the terms of the Agreement and subject to the terms
of an issuer bid exemption order issued by the Ontario Securities
Commission (the "Order"), the third party will purchase BMO's
common shares on Canadian markets for the purpose of fulfilling its
delivery obligations to BMO under the Agreement. The price that BMO
will pay for common shares purchased by it from the third party
under such Agreement will be negotiated by BMO and the third party
and will be at a discount to the prevailing market price of BMO's
common shares on the Canadian markets at the time of the purchase.
BMO currently intends to purchase the maximum of 4,000,000 common
shares under the Program, however the number of common shares
purchased pursuant to the Program may be less than the Program
maximum if, among other things, it is not possible to purchase
common shares within the price range established prior to
commencement of the Program, if trading is suspended, or as a
result of market factors. In accordance with the terms of the
Order, immediately following the completion of the Program, BMO
will issue a news release providing information regarding the
purchases made pursuant to the Program including the number of
common shares purchased and aggregate purchase price paid.
Pursuant to the terms of the Agreement and the Order, all
purchases made by the third party or its agents on the TSX and
other Canadian markets pursuant to the Program will be made in
accordance with the TSX rules applicable to the NCIB, subject to
limited exceptions as provided in the Order. BMO will acquire
common shares from the third party pursuant to the Agreement as
part of the NCIB and such common shares will be cancelled upon
purchase by BMO.
Caution Regarding Forward-Looking Statements
Bank of Montreal's public communications often include
written or oral forward-looking statements. Statements of this type
are included in this document, and may be included in other filings
with Canadian securities regulators or the U.S. Securities and
Exchange Commission, or in other communications. All such
statements are made pursuant to the "safe harbor" provisions of,
and are intended to be forward-looking statements under, the
United States Private Securities Litigation Reform Act of
1995 and any applicable Canadian securities legislation.
Forward-looking statements may involve, but are not limited to,
comments with respect to our objectives and priorities for fiscal
2017 and beyond, our strategies or future actions, our targets,
expectations for our financial condition or share price, and the
results of or outlook for our operations or for the Canadian, U.S.
and international economies.
By their nature, forward-looking statements require us to make
assumptions and are subject to inherent risks and uncertainties.
There is significant risk that predictions, forecasts, conclusions
or projections will not prove to be accurate, that our assumptions
may not be correct and that actual results may differ materially
from such predictions, forecasts, conclusions or projections. We
caution readers of this document not to place undue reliance on our
forward-looking statements as a number of factors could cause
actual future results, conditions, actions or events to differ
materially from the targets, expectations, estimates or intentions
expressed in the forward-looking statements.
The future outcomes that relate to forward-looking statements
may be influenced by many factors, including but not limited to:
general economic and market conditions in the countries in which we
operate; weak, volatile or illiquid capital and/or credit markets;
interest rate and currency value fluctuations; changes in monetary,
fiscal, tax or economic policy; the level of competition in the
geographic and business areas in which we operate; changes in laws
or in supervisory expectations or requirements, including capital,
interest rate and liquidity requirements and guidance and the
effect of such changes on funding costs; judicial or regulatory
proceedings; the accuracy and completeness of the information we
obtain with respect to our customers and counterparties; our
ability to execute our strategic plans and to complete and
integrate acquisitions, including obtaining regulatory approvals;
critical accounting estimates and the effect of changes to
accounting standards, rules and interpretations on these estimates;
operational and infrastructure risks; changes to our credit
ratings; political conditions, including changes relating to or
affecting economic or trade matters; global capital markets
activities; the possible effects on our business of war or
terrorist activities; outbreaks of disease or illness that affect
local, national or international economies; natural disasters and
disruptions to public infrastructure, such as transportation,
communications, power or water supply; technological changes;
information and cyber-security; and our ability to anticipate and
effectively manage risks arising from all of the foregoing
factors.
We caution that the foregoing list is not exhaustive of all
possible factors. Other factors and risks could adversely affect
our results. For more information, please see the Enterprise-Wide
Risk Management section on pages 79 to 112 of BMO's 2016 Annual
Report, which outlines certain key factors and risks that may
affect Bank of Montreal's future results. Investors and
others should carefully consider these factors and risks, as well
as other uncertainties and potential events, and the inherent
uncertainty of forward-looking statements. Bank
of Montreal does not undertake to update any
forward-looking statements, whether written or oral, that may be
made from time to time by the organization or on its behalf, except
as required by law. The forward-looking information contained in
this document is presented for the purpose of assisting our
shareholders in understanding our financial position as at and for
the periods ended on the dates presented, as well as our strategic
priorities and objectives, and may not be appropriate for other
purposes.
Assumptions about the performance of the Canadian and U.S.
economies, as well as overall market conditions, and their combined
effect on our business, are material factors we consider when
determining our strategic priorities, objectives and expectations
for our business. In determining our expectations for economic
growth and financial services, we primarily consider historical
economic data provided by the Canadian and U.S. governments,
historical relationships between economic and financial variables,
and the risks to the domestic and global economy. See the Economic
Review and Outlook section of our Second Quarter 2017 Report to
Shareholders.
SOURCE BMO Financial Group