TorontoAnd January 13, 2022 /PRNewswire/- Corus Entertainment Inc. (“Corus” or “the Company”) (TSX: CJR.B) today announced that the Toronto Stock Exchange (“TSX”) has accepted the notice given by the Company to begin offering a one-year Regular Course Edition (“NCIB”).
employment December 21, 2021, the company announced its intent to obtain TSX approval to start a one-year NCIB. NCIB starts in January 17 2022 It will end in January 16, 2023, or on such early date that Company may complete its purchases in accordance with the Notice of Intent provided to TSX. Under CIB, the Company is entitled to purchase up to 9,669,705 Class B non-voting shares (out of 204,954,666 Class B non-voting shares outstanding as at January 3, 2022) represents approximately 5% of the overall flotation as in January 3, 2022, via regular purchases made through TSX facilities and/or alternative Canadian trading systems. Daily buybacks will be limited to 231,935 non-voting Class B shares, which is 25% of average daily trading volume for the six months ending December 31, 2021 (representing 927,743 non-voting Class B shares), except where purchases are made pursuant to a “group purchase exception” to the TSX rules. All shares purchased by the company under the NCIB will be cancelled.
In making a decision to incorporate an NCIB, the Company believes that the market price of the Class B non-voting Shares may, from time to time, not fully reflect their value, and therefore the purchase of the Class B non-voting Shares will be in the best interest of the Company and an attractive and appropriate use of available funds.
Purchases by the Company will be made in accordance with the requirements of TSX and the price to be paid by the Company for any such Class B non-voting Shares will be the market price of any such Class B non-voting Shares at the time of acquisition, or such other price as TSX may permit.
With respect to NCIB, the Company will enter into an automatic repurchase plan with its designated broker to allow the purchase of its Class B non-voting shares during pre-set periods of withholding, subject to certain criteria relating to price and number of shares. Outside of pre-determined blackout periods, stock buybacks will be made at the discretion of management, in accordance with applicable law. The plan has been pre-approved by TSX and will expire on January 16, 2023.
Pursuant to an earlier notice of the intent to conduct an attempted ordinary track issue, the Company has sought and obtained approval from TSX to purchase up to 9,673,416 non-voting Class B shares for the period beginning in November 26, 2020 to November 25 2021. The Company has not repurchased and canceled any non-voting Class B Shares under this prior bid.
Although the Company has a current intention to acquire its Class B non-voting shares in accordance with Ahli International Bank, the Company will not be obligated to make any purchases and the Company may suspend the purchases at any time.
Caution regarding forward-looking information
This press release contains forward-looking information and should be read in accordance with the following cautionary language:
To the extent any statements made in this press release contain non-historical information, such statements are forward-looking statements and may be “forward-looking information” within the meaning of applicable securities laws (collectively, “forward-looking information”). Such forward-looking information relates to, among other things, statements regarding CBI and future purchases of Class B non-voting stock under NCIB, and may be identified generally through the use of words such as “believes,” “expects,” “expects,” “intends,” “,” plan “,” will “,” may “and other similar expressions. In addition, any statements indicating expectations, expectations or other characteristics of future events or conditions may be considered forward-looking information. Although Corus believes that the expectations reflected in such forward-looking information are reasonable, such information involves assumptions, risks and uncertainties and you should not place undue reliance on such statements. Certain material specific factors or assumptions are applied in connection with forward-looking information, including, but not limited to, factors and assumptions relating to general market conditions and general industry expectations including the potential impact of new competition, industry mergers and acquisitions, interest rates, the stability of advertising and distribution markets merchandise, subscriptions, operating costs, capital, tariffs, taxes and fees, the Company’s ability to obtain desirable content, and the Company’s capital and operating results aligning with its expectations. Actual results could differ materially from those expressed or implied in this information. Important factors that could cause actual results to differ materially from these expectations include, among others: the company’s ability to attract and retain advertising revenue; public acceptance of the company’s television programs and cable networks; The ability of the company to offset production costs, the availability of tax exemptions and the presence of co-production agreements; The company’s ability to compete in any of the industries in which it operates; opportunities (or lack thereof) that the Company may offer and pursue; conditions in the entertainment, information and communications industries and their technological developments; changes in laws or regulations or the interpretation or application of those laws and regulations; The company’s ability to consolidate and realize the expected benefits from acquisitions and effectively manage its growth; The company’s ability to successfully defend itself against litigation issues arising from the normal course of business; non-fulfillment of commitments under the company’s main credit facility or unsecured bonds; Epidemics, epidemics or other public health crises, including the current outbreak of COVID-19 and changes to accounting standards. Additional information about these factors and the material assumptions underlying any forward-looking information can be found under ‘Risks and Uncertainties’ in management’s discussion and analysis for the year ended. August 31, 2021 and under the heading “Risk Factors” in the company’s annual information form. Corus cautions that the foregoing list of important assumptions and factors that may affect future results is not exhaustive. When relying on a company’s forward-looking information to make decisions regarding Corus, investors and others should carefully consider prior factors, other uncertainties, and potential events. Unless otherwise specified, all forward-looking information contained in this document speaks as of the date of this document. Unless otherwise required by applicable securities laws, Corus disclaims any intention or obligation to publicly update or revise any forward-looking information whether as a result of new information, events or circumstances arising after such date or otherwise.
About Corus Entertainment Inc.
Corus Entertainment Inc. (TSX: CJR.B) is a leading media and content company that develops and delivers high-quality brands and content across platforms to audiences around the world. Engaging the Audience Since 1999, the company’s portfolio of multimedia offerings includes 33 specialty television services, 39 radio stations, 15 traditional television stations and a range of digital and streaming assets, animation software, technology and media services. Corus is a globally acclaimed content creator and distributor by Nelvana, an expert in world-class animation studio in all formats and Corus Studios, a globally recognized producer of written and unscripted content. The company also owns an innovative full-service social digital agency so.da, lifestyle entertainment company Kin Canada, a leading supplier of 2D animation software Toon Boom and children’s book publisher, Kids Can Press. Corus’ list of premium brands includes Global Television, W Network, HGTV Canada, Food Network Canada, HISTORY®, Showcase, Adult Swim, National Geographic, Disney Channel Canada, YTV, Global News, Globalnews.ca, Q107, Country 105, CFOX, Together with widely distributed Canadian broadcasting platforms STACKTV, Nick+, Global TV App and Curiouscast. For more information visit www.corusent.com.
Source: Corus Entertainment Inc.