TORONTO, ONTARIO--(Marketwired - Feb. 12, 2014) - Danier Leather Inc. (TSX:DL) ("Danier" or the "Company") announced today that the Toronto Stock Exchange (the "TSX") has accepted its notice of intention to make a normal course issuer bid in respect of Danier's subordinate voting shares (the "Shares"). The Company's Shares are listed and posted for trading on the TSX.
As of February 11, 2014, the Company had 2,609,839 Shares issued and outstanding. The notice provides that the Company may, during the 12-month period commencing February 14, 2014 and ending February 13, 2015, or such earlier date as the Company may complete its maximum purchases under the bid, repurchase on the facilities of the TSX up to 145,496 Shares, being approximately 10% of the Company's public float of 1,454,962 Shares as of February 11, 2014. For these purposes, the "public float" is calculated as the number of outstanding Shares less any Shares held by the Company's senior officers and directors and by shareholders that own 10% or more of the Shares. Daily purchases of Shares will not exceed 1,000 Shares, subject to the Company's ability to make "block" purchases in accordance with the TSX rules. The Shares will be purchased on behalf of the Company by a registered broker through the facilities of the TSX or alternative Canadian trading platforms. The price paid for any repurchased Shares will be the market price at the time of acquisition, and the actual number of Shares which may be purchased and the timing of any such purchases will be determined by the Company's management, in accordance with the TSX rules.
Under its previous normal course issuer bid undertaken with the approval of and pursuant to the rules of the TSX, the Company purchased a total of 100,400 subordinate voting shares through the facilities of the TSX at a weighted average price per Share of approximately Cdn$12.04. The Company's previous normal course issuer bid commenced on February 14, 2013 and will expire on February 13, 2014.
The Company's directors have concluded that the purchase of Shares at prevailing market prices may, from time to time, be a worthwhile investment for the Company and an appropriate use of a portion of its cash on-hand, and also provides shareholders with an opportunity to realize on all or a portion of their investment, should they desire liquidity. Shares that are purchased pursuant to the bid will be cancelled, thereby enhancing the remaining shareholders' value by increasing their proportionate interests.
Danier Leather Inc. is a leading integrated designer, manufacturer, distributor and retailer of high-quality fashion-oriented leather apparel and accessories. The Company's merchandise is marketed exclusively under the well-known Danier brand name and is available at its 91 shopping mall, street-front and outlet stores. Corporations and other organizations can obtain Danier products for use as incentives and premiums for employees, suppliers and customers through Canada Sportswear Corp. For more information about the Company and our products, visit www.danier.com.
This press release may contain forward-looking information and forward-looking statements which reflect the current view of Danier with respect to the Company's objectives, plans, goals, strategies, future growth, results of operations, financial and operating performance and business prospects and opportunities. Wherever used, the words "may", "will", "anticipate", "intend", "estimate", "expect", "plan", "believe" and similar expressions identify forward-looking statements and forward-looking information. Forward-looking statements and forward-looking information should not be read as guarantees of future events, performance or results, and will not necessarily be accurate indications of whether, or the times at which, such events, performance or results will be achieved. All of the statements in this press release containing forward-looking statements or forward-looking information, if any, are qualified by these cautionary statements.
Forward-looking statements and forward-looking information are based on information available at the time they are made, underlying estimates, opinions and assumptions made by management and management's good faith belief with respect to future events, performance and results and are subject to inherent risks and uncertainties surrounding future expectations generally. Among other things, readers are cautioned that there can be no assurance that Danier will repurchase any Shares under the bid, the bid may not have the intended effects or benefits anticipated, and further repurchases of Shares under the bid or otherwise may impact the trading price or liquidity of the Company's Shares.
For additional information with respect to these and other risks and uncertainties applicable to Danier and investments in its securities, reference should be made to Danier's continuous disclosure materials filed from time to time with the Canadian Securities Regulatory Authorities, including the Company's most recent annual information form, quarterly and annual reports and financial statements and notes thereto, and supplementary information, which are available on SEDAR at www.sedar.com and in the Investor Relations section of the Company's website at www.danier.com. Additional risks and uncertainties not presently known to the Company or that Danier currently believes to be less significant may also adversely affect the Company. Danier disclaims any intention or obligation to update or revise any forward-looking information or forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable laws.