Enghouse Systems Limited

Enghouse Systems Limited

April 29, 2009 09:20 ET

Enghouse Announces Automatic Share Purchase Plan in Connection with Normal Course Issuer Bid

MARKHAM, ONTARIO--(Marketwire - April 29, 2009) - Enghouse Systems Limited ("Enghouse" or the "Company") (TSX:ESL) announced today that it has entered into an automatic share purchase plan with a broker in order to facilitate repurchases of its common shares under its previously announced normal course issuer bid.

On April 9, 2009, Enghouse announced that it had received approval from the Toronto Stock Exchange ("TSX") to make a normal-course issuer bid to purchase up to a maximum of 1,655,470 common shares representing approximately 10% of the publicly listed float. The normal course issuer bid commenced on April 14, 2009 and will terminate on April 13, 2010, or such earlier date as the Company may complete repurchases under the bid.

Under the Company's automatic share purchase plan, the Company's broker may repurchase shares under the normal course issuer bid at times when the Company would ordinarily not be permitted to due to self-imposed blackout periods. Enghouse anticipates renewing the plan from time to time during the course of its normal course issuer bid to enable purchases of its common shares to be made during internal blackout periods. Purchases will be made by the Company's broker based upon the parameters prescribed by the TSX and applicable Canadian securities laws and the terms of the parties' written agreement. The automatic share purchase plan has been approved by the TSX and will be implemented effective as of May 1, 2009.

A total of 947,824 common shares were repurchased for cancellation under the Company's previous normal course issuer bid, which expired on April 13, 2009.

Enghouse is engaging in a normal course issuer bid because it believes that, from time to time, the market price of its common shares may not fully reflect the underlying value of its business and its future business prospects. As a result, depending upon future price movements and other factors, Enghouse believes that its outstanding common shares may represent an attractive investment, since a portion of Enghouse' excess cash can be invested for an attractive risk adjusted return on capital through its normal course issuer bid.

About Enghouse Systems Limited

Enghouse Systems Limited is a leading global provider of enterprise software solutions serving a variety of vertical markets. Its strategy is to build a large diverse enterprise software company through strategic acquisitions and managed growth. Enghouse shares are listed on the Toronto Stock Exchange under the symbol "ESL". Further information about Enghouse may be obtained from its web site at www.enghouse.com.

Contact Information

  • Enghouse Systems Limited
    Stephen Sadler
    Chairman & CEO
    (905) 946-3200