CAMBRIDGE, ON, Feb. 6, 2019 /CNW/ - (TSX: ATA) On
December 3, 2018, ATS announced that
the Toronto Stock Exchange ("TSX") had accepted a notice filed by
it of its intention to make a normal course issuer bid ("NCIB").
Under the NCIB, ATS has the ability to purchase for cancellation up
to a maximum of 3,000,000 common shares, representing approximately
3.2% of the 94,139,097 common shares that were issued and
outstanding as of November 16, 2018.
Today the TSX accepted an amended notice filed by ATS, increasing
the maximum number of common shares that may be purchased under the
NCIB to 6,366,405 common shares, representing 10% of the "public
float" of 63,664,050 common shares (as defined by the TSX and
calculated as of November 16, 2018).
The effective date of this amendment to the NCIB is February 11, 2019.
![ATS Automation Tooling Systems (CNW Group/ATS Automation Tooling Systems Inc.) ATS Automation Tooling Systems (CNW Group/ATS Automation Tooling Systems Inc.)](https://mma.prnewswire.com/media/818859/ATS_Automation_Tooling_Systems_Inc__ATS_Announces_Increase_in_Nu.jpg)
Purchases under the NCIB will continue to be made through the
facilities of the TSX and/or alternative Canadian trading systems
in accordance with applicable regulatory requirements, during the
twelve month period that commenced on December 5, 2018 and ending on or before
December 4, 2019. The average daily
trading volume of the common shares on the TSX for the six calendar
months ending October 31, 2018 was
240,474 common shares. On any trading day ATS will not purchase
more than 25% of such average daily trading volume, representing
60,118 common shares, except where such purchases are made in
accordance with available block purchase exemptions. The common
shares purchased under the NCIB will be cancelled. Since the
commencement of the NCIB to February 5,
2019, ATS has purchased 2,509,120 common shares for
cancellation at a volume weighted average price of $15.65.
Some purchases under the NCIB may be made pursuant to an
automatic purchase plan between ATS and its broker. This plan
enables the purchase of up to 3,000,000
ATS common shares when ATS would not ordinarily be active in
the market due to internal trading blackout periods, insider
trading rules, or otherwise.
ATS believes that there are times when the market price of ATS
common shares may not reflect their underlying value and that the
purchase of shares by ATS will both provide liquidity to existing
shareholders and benefit remaining shareholders. The NCIB is viewed
by ATS management as one component of an overall capital structure
strategy and complimentary to its acquisition growth plans.
About ATS
ATS is an industry-leading automation
solutions provider to many of the world's most successful
companies. ATS uses its extensive knowledge base and global
capabilities in custom automation, repeat automation, automation
products and value-added services, including pre-automation and
after-sales services, to address the sophisticated manufacturing
automation systems and service needs of multinational customers in
markets such as life sciences, chemicals, consumer products,
electronics, food, beverage, transportation, energy, and oil and
gas. Founded in 1978, ATS employs approximately 4,000 people at 21
manufacturing facilities and over 50 offices in North America, Europe, Southeast
Asia and China. The
Company's shares are traded on the Toronto Stock Exchange under the
symbol ATA. Visit the Company's website at
www.atsautomation.com.
SOURCE ATS Automation Tooling Systems Inc.