TORONTO, ON / ACCESSWIRE / August 11, 2022 / Park Lawn Corporation (TSX:PLC)(TSX:PLC.U) ("PLC") announced today that it has received approval from the Toronto Stock Exchange (the "TSX") respecting the establishment of a normal course issuer bid ("NCIB").
Under the NCIB, PLC may, during the twelve-month period commencing August 17, 2022 and ending August 16, 2023 purchase up to 3,385,439 common shares ("Common Shares") representing 10% of its public float of issued and outstanding Common Shares. As at August 8, 2022, there are 34,073,818 Common Shares issued and outstanding and 33,854,396 Common Shares estimated in the "public float", calculated in accordance with TSX rules. All Common Shares purchased by PLC under the NCIB will be cancelled or transferred to and held by a trust established by PLC for the settlement of equity settled incentive plans.
PLC's board of directors has authorized the NCIB because the board believes that, from time to time, the market price of Common Shares may be such that their purchase may be an attractive and appropriate use of corporate funds. The NCIB will provide PLC with additional flexibility to manage capital. Decisions regarding the timing of future purchases of Common Shares will be based on market conditions, share price, capital needs and other factors.
Purchases made by PLC will be made on the open market through the facilities of TSX and/or alternative Canadian trading systems, in accordance with applicable TSX and other applicable trading system rules. The actual number of Common Shares purchased under the NCIB and the timing of any such purchases will be at PLC's discretion. Based on the average daily trading volume of 70,028 during the last six months, daily purchases will be limited to 17,507 Common Shares, other than block purchase exceptions. PLC has not purchased any of its Common Shares within the last 12 months.
PLC has entered into an automatic securities purchase plan ("ASPP") with its designated broker in connection with its NCIB to facilitate the purchase of Common Shares during times when PLC would ordinarily not be permitted to purchase Common Shares due to regulatory restrictions or self-imposed black-out periods. Before entering a black-out period, PLC may, but is not required to, instruct the broker to make purchases under the NCIB based on parameters set by PLC in accordance with the ASPP, TSX rules and applicable securities laws. The ASPP has been pre-cleared by the TSX. Outside of pre-determined blackout periods, Common Shares may be purchased under the NCIB based on management's discretion, in compliance with TSX rules and applicable securities laws. All purchases made under the ASPP will be included in computing the number of Common Shares purchased under the NCIB.
PLC provides goods and services associated with the disposition and memorialization of human remains. Products and services are sold on a pre-planned basis (pre-need) or at the time of a death (at-need). PLC and its subsidiaries own and operate businesses including cemeteries, crematoria, funeral homes, chapels, planning offices and a transfer service. PLC operates in three Canadian provinces and seventeen U.S. states.
Chief Financial Officer
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Cautionary Statement Regarding Forward-Looking Information
This news release may contain forward-looking statements (within the meaning of applicable securities laws) relating to the business of PLC and the environment in which it operates, and PLC's expectations its intention to use corporate funds to carry out purchases subject to the NCIB and its intention to implement the ASPP. Forward-looking statements are identified by words such as "believe", "anticipate", "project", "expect", "intend", "plan", "will", "may", "estimate", "pro-forma" and other similar expressions. These statements are based on PLC's expectations, estimates, forecasts and projections. The forward-looking statements in this news release are based on certain assumptions, including that the future price of Common Shares and the availability of corporate funds to complete purchases under the NCIB, as well as those regarding present and future business strategies, organic growth initiatives, the environment in which PLC will operate in the future, expected revenues, expansion plans and PLC's ability to achieve its goals. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, including, but not limited to, the factors discussed under the heading "Risk Factors" in PLC's Annual Information Form and most recent Management's Discussion and Analysis available at www.sedar.com. There can be no assurance that forward-looking statements will prove to be accurate as actual outcomes and results may differ materially from those expressed in these forward-looking statements. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, these forward-looking statements are made as of the date of this news release and, except as expressly required by applicable law, PLC assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
SOURCE: Park Lawn Corporation