TORONTO, ONTARIO--(Marketwired - Oct. 17, 2013) -
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
PhosCan Chemical Corp. (TSX:FOS) ("PhosCan") announces that it intends to renew its normal course issuer bid (the "Renewed Bid") for an additional one year period. Under the Renewed Bid, PhosCan may repurchase up to 10 million of its common shares, representing approximately 8.3% of the public float of PhosCan. As of October 15, 2013, there were 160,248,372 issued and outstanding common shares of PhosCan. Purchases will be made through the facilities of the TSX and other designated exchanges and alternative trading systems in Canada at the prevailing market price of the shares. All shares purchased under the Bid will be cancelled. PhosCan currently has in place a normal course issuer bid which expires October 18, 2013 (the "Existing Bid") and previously had in place a normal course issuer bid which expired October 17, 2012 (the "Original Bid"). During the past year, PhosCan has purchased an aggregate of 7,247,856 common shares at an average weighted price of $0.271 per share under the Existing Bid.
PhosCan has received approval from the TSX to commence the Renewed Bid on October 21, 2013. The Bid will terminate on October 20, 2014 or on any such earlier date as PhosCan may complete its purchases or otherwise terminate the Bid. Pursuant to TSX policies, daily purchases made by PhosCan pursuant to the Bid will not exceed 47,085 common shares, being 25% of the average daily trading volume of 188,343 shares on the TSX for the past six months, subject to certain exceptions (including block purchases) prescribed by the TSX. Purchases pursuant to the Renewed Bid will be made through RBC Dominion Securities Inc.
To the knowledge of PhosCan, no director, senior officer or insider of PhosCan currently intends to sell any common shares under the Bid. However, sales by any such persons through the facilities of the TSX may occur if the personal circumstances of such person changes or such person makes a decision unrelated to the Bid. The benefits to any such person whose shares are purchased would be the same as the benefits available to all other holders whose shares are purchased under the Bid.
PhosCan believes that the purchase of its common shares is an appropriate use of funds, since the current market price is less than the cash value per common share.
Certain statements in this press release may constitute "forward-looking" statements that involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of PhosCan to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. These forward-looking statements are made as of the date of this press release, and PhosCan assumes no obligations to update or revise them to reflect new events or circumstances.