OKOTOKS, Alta., March 7, 2022 /CNW/ – (TSX: MTL) Mullen Group Ltd. (“Mullen Group” and/or the “society“) announced today that it has received approval from the Toronto Stock Exchange (the “To exchange“) for the renewal of its normal course issuer bid (the “Bid“).
For its normal course issuer bid which commenced on March 9, 2021 and which will expire on March 8, 2022Mullen Group previously received stock exchange approval to repurchase up to 7,928,623 common shares of the Company (“Shares“). Of this amount, the Company has already repurchased 4,160,956 Shares for a total cost of approximately $52.5 millionrepresenting a volume-weighted average price of $12.61 by Share.
Pursuant to the Renewed Offering, the Company may repurchase from time to time up to a maximum of 8,828,623 Shares, representing approximately 10% of the Company’s Public Float (as such term is defined in the policies of the Exchange) between March 102022 and March 9, 2023. Purchases may be made through the facilities of the Exchange or through other Canadian trading systems, if eligible. All Shares purchased under the Offer will be cancelled. The price the Company will pay for these shares will be the prevailing market price at the time of acquisition. The actual number of shares that may be purchased under the offer will be determined by the management of the Company.
From February 28, 2022, the Company has 93,876,859 shares issued and outstanding. The average daily trading volume of the Shares on the Exchange (“ADTV“) for the last six completed calendar months is 294,235. In accordance with the policies of the Exchange, the maximum number of Shares that may be purchased in one day pursuant to the Offer will be the greater of between 1,000 and 25.0% of ADTV, which amounts to 73,558 Shares. , subject to certain prescribed exceptions.
The Company has entered into an automatic securities purchase plan (the “ASPP“) with its broker, Scotia Capital Inc., to permit the redemption of shares at any time during the course of the offering, including when the company would not normally be active in the market due to its own periods of prohibition of internal trading, insider trading The ASPP is subject to a limitation which limits the cumulative number of redemptions of Shares during the Offer to the lesser of 4.0 million Shares or $45.0 million. The AESP was entered into and adopted in accordance with applicable Canadian securities laws. Subject to Exchange approval, the ASPP may be amended by the parties to increase the number of shares that may be repurchased or the budget for repurchases made under the ASPP. The financing of any purchase under the Offer will be financed from the Company’s working capital.
The Board of Directors continues to believe that the underlying value of the Company may not be reflected in its current share price. Accordingly, depending on future price movements and other factors, the Board believes that the Shares may represent an attractive investment for the Company in the best interests of the Company and its shareholders. Additionally, buybacks are expected to benefit all individuals who continue to own shares by increasing their stake in the company if the shares bought back are cancelled.
A copy of the Company’s notice filed with the Stock Exchange may be obtained, free of charge, by any shareholder by contacting the Corporate Secretary and Vice-President, Corporate Services of the Company.
About Mullen Group Ltd.
The Mullen Group is one of North America the largest logistics providers. Our network of independent companies offers a wide range of service offerings including LTL, TL, warehousing, logistics, cross-docking, oversized and third-party logistics and specialized haulage . Additionally, we provide a diverse set of specialized services related to the energy, mining, forestry and construction industries in the West. Canada, including water management, fluid transport and environmental rehabilitation. The head office provides capital and financial expertise, legal support, technology and systems support, shared services and strategic planning to its independent businesses.
Mullen Group is a publicly traded company listed on the Toronto Stock Exchange under the symbol “MontrealAdditional information is available on our website at www.mullen-group.com or on the Company’s issuer profile on SEDAR at www.sedar.com.
Sir. Murray K. Mullen – Chairman of the Board of Directors, Chief Executive Officer and President
Sir. Richard J. Maloney – Senior Vice President
M/s. Joanna K. Scott – Corporate Secretary and Vice President, Corporate Services
121A – 31 Southridge Drive
Okotoks, ABCanada T1S 2N3
Certain statements included in this press release constitute “forward-looking statements” under Canadian securities laws, including statements relating to potential purchases of common stock for cancellation pursuant to a public offering of repurchase in the normal course of business, the possibility of any amendment to the ESAP to increase the number of Shares that may be repurchased or budget for repurchases during the Offer, future benefits of holding common shares of the Company and future benefits arising from the purchase of common shares of the Company pursuant to a normal course issuer bid. By their nature, forward-looking statements involve risks, uncertainties and assumptions. The Company cautions that its assumptions may not materialize and that current economic conditions render these assumptions, although reasonable at the time they were made, subject to greater uncertainty. Forward-looking statements can be identified by the use of terms such as “believes”, “expects”, “anticipates”, “assumes”, “outlook”, “plans”, “targets” or other similar words .
Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and other factors that may cause the actual results or performance of the Company to be materially different from the outlook or from any future results or performance under -understood by these statements. Accordingly, readers are cautioned not to place undue reliance on forward-looking statements. Important risk factors that could affect forward-looking statements include, but are not limited to, the effects of general economic and business conditions; industry competition; fluctuations in inflation, currencies and interest rates; changes in fuel prices; legislative and/or regulatory developments; compliance with environmental laws and regulations; the actions of regulators; increases in maintenance and operating costs; security threats; reliance on technology and cybersecurity risks; trade restrictions or other changes in international trade agreements; transportation of hazardous materials; various events that could disrupt operations, including natural occurrences such as extreme weather, droughts, fires, floods and earthquakes; climate change; negotiations and labor disruptions; environmental claims; uncertainties of investigations, proceedings or other types of claims and litigation; timing and completion of capital programs; and other risks detailed from time to time in reports filed by Mullen Group with securities regulatory authorities in Canada. Reference should be made to the Mullen Group MD&A and Annual Information Form, both dated February 9, 2022 and can be viewed under the Company’s issuer profile on SEDAR (www.sedar.com) and on the Mullen Group website (www.mullen-group.com), for a description of the main risk factors.
Forward-looking statements reflect the information as of the date on which they are made. Mullen Group undertakes no obligation to update or revise any forward-looking statements to reflect future events, changes in circumstances or changes in beliefs, except as required by applicable securities laws. In the event that Mullen Group updates a forward-looking statement, no inference should be drawn that Mullen Group will make additional updates with respect to such statement, related matters or any other forward-looking statements.
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SOURCE Mullen Group Ltd.
View original content: http://www.newswire.ca/en/releases/archive/March2022/07/c0739.html