CGI Group Inc. Board Authorizes the Renewal of Its Normal Course Issuer Bid
February 01 2012 - 8:12AM
Marketwired
CGI Group Inc. (TSX:GIB.A)(NYSE:GIB) (the "Company") announced
today that its Board of Directors has authorized the renewal of its
Normal Course Issuer Bid ("NCIB"), subject to acceptance by the
Toronto Stock Exchange (the "TSX").
The Company's management and Board of Directors believe that the
repurchase of Class A subordinate voting shares ("Class A Shares")
of the Company is a proper use of the Company's funds, and the NCIB
will provide the Company with the flexibility to purchase Class A
Shares from time to time as the Company considers it advisable, as
part of its strategy to increase shareholder value.
At the close of business on January 30, 2012, there were
225,247,607 Class A Shares outstanding, of which approximately 98%
were widely held (representing a public float of 220,641,634 Class
A Shares).
Under the terms of the NCIB, subject to TSX acceptance, the
Company may purchase for cancellation on the open market through
the facilities of the TSX and the New York Stock Exchange and
through alternative trading systems (such as Alpha ATS) up to
22,064,163 Class A Shares, representing approximately 10% of the
Company's public float as of the close of business on January 30,
2012. The average daily trading volume (the "ADTV") of the Class A
Shares on the TSX for the six month period ended December 31, 2011
(excluding purchases under the NCIB) was 687,197 Class A Shares.
Consequently and in accordance with the requirements of the TSX,
the daily purchase limit under the NCIB on the TSX will be 171,799
Class A Shares, representing 25% of the ADTV. All Class A Shares
will be purchased at their market price at the time of acquisition.
All shares purchased under the NCIB will be cancelled.
Purchases of Class A Shares may commence on February 9, 2012 and
will expire on the earlier of February 8, 2013 or the date on which
the Company has either acquired the maximum number of Class A
Shares allowable under the NCIB or otherwise decided not to make
any further repurchases under the NCIB.
Under the terms of its NCIB that commenced on February 9, 2011
and will expire on February 8, 2012, the Company had purchased, as
of January 30, 2012, an aggregate of 14,046,100 Class A Shares for
cancellation. These purchases were made through the facilities of
the TSX and the New York Stock Exchange and through alternative
trading systems at a weighted average purchase price of $19,41.
About CGI
Founded in 1976, CGI Group Inc. is one of the largest
independent information technology and business process services
firms in the world. CGI and its affiliated companies employ
approximately 31,000 professionals. CGI provides end-to-end IT and
business process services to clients worldwide from offices and
centres of excellence in Canada, the United States, Europe and Asia
Pacific. As at December 31, CGI's annualized revenue was
approximately $4.1 billion and its order backlog was approximately
$13.6 billion. CGI shares are listed on the TSX (GIB.A) and the
NYSE (GIB) and are included in both the Dow Jones Sustainability
Index and the FTSE4Good Index. Website: www.cgi.com.
CGI Forward-Looking Statements
All statements in this press release that do not directly and
exclusively relate to historical facts constitute "forward-looking
statements" within the meaning of that term in Section 27A of the
United States Securities Act of 1933, as amended, and Section 21E
of the United States Securities Exchange Act of 1934, as amended,
and are "forward-looking information" within the meaning of
Canadian securities laws. These statements and this information
represent CGI's intentions, plans, expectations and beliefs, and
are subject to risks, uncertainties and other factors, of which
many are beyond the control of the Company. These factors could
cause actual results to differ materially from such forward-looking
statements or forward-looking information. These factors include
but are not restricted to: the timing and size of new contracts;
acquisitions and other corporate developments; the ability to
attract and retain qualified members; market competition in the
rapidly evolving IT industry; general economic and business
conditions; foreign exchange and other risks identified in the
press release, in CGI's annual and quarterly Management's
Discussion and Analysis ("MD&A"), in CGI's Annual Report, in
CGI's Annual Report on Form 40-F filed with the U.S. Securities and
Exchange Commission (filed on EDGAR at www.sec.gov), and in the
Company's Annual Information Form filed with the Canadian
securities authorities (filed on SEDAR at www.sedar.com), as well
as assumptions regarding the foregoing. The words "believe,"
"estimate," "expect," "intend," "anticipate," "foresee," "plan,"
and similar expressions and variations thereof, identify certain of
such forward-looking statements or forward-looking information,
which speak only as of the date on which they are made. In
particular, statements relating to future performance are
forward-looking statements and forward-looking information. CGI
disclaims any intention or obligation to publicly update or revise
any forward-looking statements or forward-looking information,
whether as a result of new information, future events or otherwise,
except as required by applicable law. Readers are cautioned not to
place undue reliance on these forward-looking statements or on this
forward-looking information.
Contacts: Lorne Gorber Senior Vice-President, Global
Communications and Investor Relationslorne.gorber@cgi.com
514-841-3355
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