Stock Market Symbols
GIB.A (TSX)
GIB (NYSE)
www.cgi.com/newsroom
MONTRÉAL, Jan. 31, 2018
/PRNewswire/ - CGI Group Inc. (TSX: GIB.A) (NYSE: GIB) (the
"Company" or "CGI") announced today that its Board of Directors has
authorized the renewal of its Normal Course Issuer Bid ("NCIB"),
subject to approval by the Toronto Stock Exchange (the "TSX").
CGI's management and Board of Directors believe that the
purchase for cancellation of the Company's Class A subordinate
voting shares ("Class A Shares") is a proper use of funds, and the
NCIB will provide the flexibility to purchase Class A Shares from
time to time as the Company considers it advisable, as part of its
efforts to increase shareholder value.
At the close of business on January 24,
2018, there were 255,096,887 Class A Shares outstanding, of
which approximately 81% were widely held (representing a public
float of 205,955,398 Class A Shares for TSX purposes).
Under the terms of the NCIB, subject to TSX approval, 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, as well as outside the
facilities of the TSX pursuant to exemption orders issued by
securities regulators, up to 20,595,539 Class A Shares,
representing approximately 10% of the Company's public float as of
the close of business on January 24,
2018. The average daily trading volume of the Class A Shares
on the TSX for the six-month period ended December 31, 2017 was 423,753 (the "ADTV").
Consequently, and in accordance with the requirements of the TSX,
the daily purchase limit under the NCIB on the TSX will be 105,938
Class A Shares, representing 25% of the ADTV. All Class A Shares
will be purchased at their market price at the time of acquisition,
except for purchases effected outside the facilities of the TSX
pursuant to exemption orders issued by securities regulators which
will be at a discount to the market price as provided in such
exemption orders. All Class A Shares purchased under the NCIB will
be cancelled.
Purchases of Class A Shares may commence on February 6, 2018 and will end on the earlier of
February 5, 2019 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 purchases for
cancellation under it.
Under its current NCIB that commenced on February 6, 2017 and will end on February 5, 2018, the Company received the
approval of the TSX to repurchase for cancellation up to 21,190,564
Class A Shares. As at January 24,
2018, CGI has purchased 13,831,568 Class A Shares by means
of open market transactions, through the facilities of the TSX and
through alternative trading systems, and by way of a private
agreement under an issuer bid exemption order issued by securities
regulators, at a weighted average price of $62.87 per Class A Share, for a total
consideration of $869,553,679.
CGI has implemented an automatic share purchase plan with its
designated broker in connection with the NCIB in order to allow, if
deemed advisable by the Company, for share purchases for
cancellation during self-imposed blackout periods.
About CGI
Founded in 1976, CGI is the fifth largest
independent IT and business consulting services firm in the world.
With approximately 72,500 professionals worldwide, CGI delivers an
end-to-end portfolio of high-end IT and business consulting
services, systems integration and IT and business process
outsourcing services. CGI's client proximity model, best-fit global
delivery network, and intellectual property solutions help clients
accelerate results and digitally transform their organizations.
With annual revenue of C$10.8
billion, CGI shares are listed on the TSX (GIB.A) and the
NYSE (GIB). Website: www.cgi.com.
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 Section 27A of the United States
Securities Act of 1933 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 employees; market competition in the rapidly evolving
information technology industry; general economic and business
conditions; foreign exchange and other risks identified or
incorporated by reference in this press release, in CGI's annual
and/or quarterly Management's Discussion and Analysis and in other
public disclosure documents filed with the Canadian securities
regulators (on SEDAR at www.sedar.com) and the U.S. Securities and
Exchange Commission (on EDGAR at www.sec.gov), 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.
SOURCE CGI Group Inc.