CALGARY, April 13, 2020 /CNW/ - (TSXV: CWC) CWC
Energy Services Corp. ("CWC" or the "Company") is
pleased to announce that it will renew its Normal Course Issuer Bid
(the "Bid") to purchase for cancellation, from time to time,
as CWC considers advisable, a maximum of 25,340,742 common shares
(the "Common Shares"), subject to the approval of the TSX
Venture Exchange ("TSXV"). CWC has entered into an
"automatic securities purchase plan" (as defined under applicable
securities laws) with Raymond James Ltd. ("Raymond James") for the purpose of making
purchases under the Bid (the "ASPP"). Such purchases will be
determined by Raymond James in its
sole discretion, without consultation with CWC having regard to the
price limitation and aggregate purchase limitation and other terms
of the ASPP and the rules of the TSXV. Conducting the Bid as
an ASPP allows Common Shares to be purchased at times when CWC
would otherwise be prohibited from doing so pursuant to securities
laws and its internal trading policies.
The maximum number of Common Shares to be purchased pursuant to
the Bid represents approximately 5% of the outstanding Common
Shares as of April 8, 2020. Purchases
of Common Shares will be made on the open market through the
facilities of the TSXV. The price that CWC will pay for any Common
Shares purchased by it will be the prevailing market price of the
Common Shares on the TSXV at the time of such purchase. The actual
number of Common Shares that may be purchased for cancellation and
the timing of any such purchases will be determined by Raymond James in accordance with the ASPP. The
funds available to acquire the Common Shares will come from the
Company's working capital and cash flow.
The Bid will commence on April 15,
2020 and will terminate on April 14,
2021 or such earlier date as the Bid is completed or
terminated in accordance with the ASPP. The Bid replaces the
Company's previous normal course issuer bid, which will expire on
April 14, 2020. Under this
previous normal course issuer bid, the Company has to date
purchased and canceled 6,886,500 common shares at an average price
of $0.12 per common share.
Management of CWC believes that, from time to time, the market
price of the Common Shares may not fully reflect the underlying
value of the Common Shares and that at such times the purchase of
Common Shares would be in the best interests of CWC. Such purchases
will increase the proportionate interest of, and may be
advantageous to, all remaining shareholders. In addition, the
purchases by CWC may increase liquidity to shareholders wishing to
sell their Common Shares.
About CWC Energy Services Corp.
CWC Energy Services Corp. is a premier contract drilling and
well servicing company operating in the WCSB and the United States with a complementary suite
of oilfield services including drilling rigs, service rigs and
swabbing rigs. The Company's corporate office is located in
Calgary, Alberta, with a U.S.
office in Denver, Colorado and
operational locations in Nisku,
Grande Prairie, Slave Lake, Sylvan
Lake, Drayton Valley,
Lloydminster, Provost, and Brooks,
Alberta. The Company's shares trade on the TSX Venture
Exchange under the symbol "CWC".
READER ADVISORY – Neither TSXV nor its Regulation Services
Provider (as that term is defined in the policies of the TSXV)
accepts responsibility for the adequacy or accuracy of this
release.
SOURCE CWC Energy Services Corp.