TORONTO, March 4, 2020 /CNW/ - E-L Financial
Corporation Limited (TSX: ELF) (TSX: ELF.PR.F) (TSX: ELF.PR.G)
(TSX: ELF.PR.H) (the "Company") announced today that the Toronto
Stock Exchange (the "Exchange") has accepted a notice filed by the
Company of its intention to make a Normal Course Issuer Bid (the
"Bid") to be transacted through the facilities of the Exchange or
through alternative Canadian trading systems.
The notice provides that the Company may, during the 12-month
period commencing March 9, 2020 and
ending March 8, 2021, purchase up to
200,970 common shares in the capital of the Company ("Shares") in
total, being approximately 5% of the total number of 4,019,409
Shares outstanding as at March 2,
2020. The price which the Company will pay for any such
Shares will be the prevailing market price at the time of
acquisition. The actual number of Shares which may be purchased
pursuant to the Bid will be determined by management of the
Company. Any Shares purchased pursuant to the Bid will be
cancelled.
The average daily trading volume of the Shares on the Exchange
for the most recently completed six calendar months is 1,066. Under
the Bid, the Company may purchase up to 1,000 Shares on the
Exchange during any trading day.
The Company has entered into a pre-defined automatic securities
purchase plan with its broker to allow for the repurchase of Shares
in connection with the Bid at times when the Company ordinarily
would not be active in the market due to its own internal trading
blackout periods, insider trading rules or otherwise. Outside of
the restricted periods, the timing of purchases will be determined
by management of the Company. Decisions regarding purchases will be
based on market conditions, share price, best use of available
cash, and other factors. The funding for any purchase pursuant to
the Bid will be financed out of the working capital of the
Company.
The Board of Directors believes that, in the event the Shares
trade in a price range that does not fully reflect their value, the
purchase of the Shares would be an appropriate use of corporate
funds in the best interests of the Company and its shareholders.
Furthermore, the purchases are expected to benefit all persons who
continue to hold Shares by increasing their equity interest in the
Company if the repurchased Shares are cancelled.
About E-L Financial Corporation Limited
The Company operates as an investment and insurance holding
company. In managing its operations, the Company distinguishes
between two operating segments, E-L Corporate and Empire Life.
E-L Corporate represents investments in stocks and fixed income
securities held directly and indirectly through pooled funds,
closed-end investment companies and other investment companies. The
investment strategy is to accumulate shareholder value through
long-term capital appreciation and dividend and interest income
from its investments.
Empire Life is a subsidiary of the Company. Since 1923, Empire
Life has provided individual and group life and health insurance,
investment and retirement products to Canadians. Empire Life's
mission is to make it simple, fast and easy for Canadians to get
the investment, insurance and group benefits coverage they need to
build wealth, generate income, and achieve financial security.
Forward-Looking Statements
This press release may contain forward-looking information
within the meaning of applicable securities regulation. The words
"may", "will", "would", "should", "could", "expects", "plans",
"intends", "trends", "indications", "anticipates", "believes",
"estimates", "predicts", "likely" or "potential" or the negative or
other variations of these words or other comparable words or
phrases, are intended to identify forward-looking
statements. These statements include, without limitation,
statements regarding the Company's intentions and expectations with
respect to the Bid and purchases thereunder, the effects of
purchases under the Bid, and the Company's intention to enter into
a pre-defined automatic securities purchase plan with its broker.
Purchases made under the Bid are not guaranteed and may be
suspended at the discretion of the Board of Directors.
Forward-looking information is based on a number of assumptions and
is subject to a number of risks and uncertainties that may cause
the results or events mentioned in this press release to differ
materially from those that are discussed in or implied by such
forward-looking information. These risks and uncertainties include,
but are not limited to, general, local economic, and business
conditions. All forward-looking information in this press release
speaks as of the date hereof. The Company does not undertake to
update any such forward-looking information whether as a result of
new information, future events or otherwise. Additional information
about these assumptions and risks and uncertainties is disclosed in
filings with securities regulators filed on SEDAR
(www.sedar.com).
SOURCE E-L Financial Corporation