Logistec Corporation

Logistec Corporation

October 17, 2006 15:25 ET

Logistec Corporation Launches a Normal Course Issuer Bid

MONTREAL, QUEBEC--(CCNMatthews - Oct. 17, 2006) - LOGISTEC CORPORATION ("Logistec")(TSX:LGT.A)(TSX:LGT.B) announced today that it is launching a normal course issuer bid. Logistec believes that the purchase of its shares makes appropriate and desirable use of its available cash. Therefore, Logistec believes that the offer is in the best interests of Logistec and its shareholders.

The Toronto Stock Exchange (the "Exchange") has accepted a notice filed by Logistec of its intention to make a normal course issuer bid. According to the notice, Logistec intends to purchase, for cancellation, in accordance with the requirements of the Exchange i) up to 190,228 Class A Common Shares ("Class A Shares"), representing 5% of the outstanding Class A Shares and ii) up to 141,349 Class B Subordinate Voting Shares ("Class B Shares"), representing 5% of the outstanding Class B Shares.

Logistec has purchased some of its shares within the past twelve (12) months pursuant to a normal course issuer bid which began on October 20, 2005 and will terminate no later than October 19, 2006. The purchases were effected through the facilities of the Exchange. 1,900 Class A Shares and 138,200 Class B Shares were purchased at an average price of $15.16 and $16.23, respectively.

The normal course issuer bid will begin on October 20, 2006 and will terminate no later than October 19, 2007. All purchases will be made through the facilities of the Exchange at the discretion of Logistec's management, as and when it will deem the market price of the Class A Shares or of the Class B Shares to be favourable to the reduction of its outstanding share capital. The purchase of and payment for the shares will be made by Logistec in accordance with the Rules and Policies of the Exchange and the price Logistec will pay for any shares will be the market price of such shares at the time of acquisition. Pierre Lefebvre, a senior officer of Logistec, has indicated he has the intention of selling 3,000 Class B Shares during the course of this normal course issuer bid. As of the close of business on October 13, 2006, there were 3,804,574 Class A Shares and 2,826,987 Class B Shares outstanding.

Contact Information

  • Logistec Corporation
    Jean-Claude Dugas
    Vice-President, Finance