MONTREAL, July 3, 2019 /CNW Telbec/ - Dollarama Inc. (TSX:
DOL) ("Dollarama" or the "Corporation") announced today that it
received approval from the Toronto Stock Exchange ("TSX") to renew
its normal course issuer bid in order to purchase for cancellation
up to 15,737,468 of its common shares, representing 5.0% of the
314,749,377 common shares issued and outstanding as at the close of
markets on July 2, 2019, during the
12-month period starting on July 5, 2019 and ending no later
than July 4, 2020.
Purchases will be conducted through the facilities of the TSX
and through alternative trading systems such as prearranged
crosses, exempt offers and block purchases. Dollarama may also
purchase common shares for cancellation by way of private
agreements or specific share repurchase programs under issuer bid
exemption orders issued by a securities regulatory authority.
Purchases made on the open market through the facilities of the TSX
and alternative trading systems will be at the prevailing market
price at the time of acquisition. Purchases made by way of private
agreement under an issuer bid exemption order issued by a
securities regulatory authority will be at a discount to the
prevailing market price at the time of the acquisition. Purchases
made under a specific share repurchase program will be at a
discount to the volume weighted average trading price of the common
shares on the Canadian markets on the date of the purchase. All
shares purchased pursuant to the normal course issuer bid will be
cancelled.
The average daily trading volume of the common shares on the TSX
over the period between January 1,
2019 and June 30, 2019, as
calculated per TSX rules, was 831,446 common shares. Consequently,
under TSX rules, Dollarama will be allowed to purchase daily,
through the facilities of the TSX, a maximum of 207,861 common
shares, representing 25% of such average daily trading volume. In
addition, Dollarama may make, once per week, a block purchase (as
such term is defined in the TSX Company Manual) of common shares
not directly or indirectly owned by insiders of Dollarama, in
accordance with TSX rules.
Under the normal course issuer bid which expired on June 19, 2019, 30,095,056 common shares were
sought and approved for purchase by the TSX. Dollarama repurchased
a total of 12,980,884 common shares thereunder, representing
nearly 4.0% of all common shares issued and outstanding as at the
close of markets on June 6, 2018, at a weighted average price
of $37.88 per common share. Such
purchases were effected through the facilities of the TSX and
alternative trading systems, including by block purchases traded on
those facilities.
The Board of Directors of Dollarama believes that the purchase
by Dollarama of its common shares continues to represent an
appropriate and desirable use of its available funds to increase
shareholder value.
Forward-Looking Statements
This press release may contain 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
actual results, level of activity, performance, achievements,
future events or developments to differ materially from those
expressed or implied by the forward-looking statements, including,
but not limited to, the factors discussed in the "Risks and
Uncertainties" section of the Corporation's management's discussion
and analysis (MD&A) for the fiscal year ended February 3, 2019 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 press release are made as at
July 3, 2019 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 press release are expressly qualified
by this cautionary statement.
About Dollarama
Dollarama is a recognized Canadian value retailer offering a
broad assortment of consumable products, general merchandise and
seasonal items both in-store and online. Our 1,236 locations across
Canada provide customers with
compelling value in convenient locations, including metropolitan
areas, mid-sized cities and small towns. Select consumable and
general merchandise products are also available by the full case
only through our online store at www.dollarama.com. Our quality
merchandise is sold at select, fixed price points up to
$4.00.
www.dollarama.com
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SOURCE Dollarama Inc.