Divestco Inc.

Divestco Inc.

June 10, 2005 17:05 ET

Divestco Inc. Renews Normal Course Issuer Bid Program

CALGARY, ALBERTA--(CCNMatthews - June 10, 2005) - Divestco Inc. (TSX VENTURE:DVT) ("Divestco") announces today it has received regulatory approval to purchase, by way of a normal course issuer bid through the facilities of TSX Venture Exchange Inc., at market price, that number not to exceed 1,425,000 common shares, being approximately 10% of its public float. As of June 1, 2005, there were 24,529,022 issued and outstanding common shares.

The bid will commence on June 15, 2005, and expire no later than June 14, 2006. The broker for any purchases under the bid will be First Associates Investments Inc., Calgary, Alberta. The reason for the bid is that, in the opinion of the board of directors, the value of Divestco, based on anticipated cash flows and underlying asset values, is greater than the present aggregate market price of the common shares and accordingly, the acquisition of common shares under the bid represents a worthwhile investment and an appropriate use of funds.

Under its previous normal course issuer bid, Divestco purchased for cancellation 1,123,100 common shares at an average price of $1.10 per share.

Divestco was formed on September 23, 2003 as a result of the amalgamation of International Datashare Corporation and Divestco.com Inc. Divestco is actively involved in the North American oil and gas software and services industry, and markets over 20 separate software applications that are widely used in both North America and International marketplaces. The Company also operates a significant database containing information relevant to oil and gas exploration. Additionally, Divestco has an expanding seismic data library and is the largest broker of seismic data in Canada.

The TSX Venture Exchange has not reviewed nor accepts responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Divestco Inc.
    Mr. Stephen Popadynetz
    Chief Executive Officer
    (403) 218-6466
    Divestco Inc.
    Mr. Roderick Chisholm
    Chief Financial Officer
    (403) 218-6450
    Website: www.divestco.com