Urbana Corporation
TSX : URB.A

Urbana Corporation

February 09, 2011 09:00 ET

Urbana Corporation-Normal Course Issuer Bid Purchases

TORONTO, ONTARIO--(Marketwire - Feb. 9, 2011) -

NOT FOR DISTRIBUTION TO U.S. WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

Urbana Corporation has now purchased, under a Normal Course Issuer Bid ("NCIB"), 7,526,320 of the company's Class "A" shares (TSX:URB.A).

The NCIB purchases, over the past 10 months, represent a reduction of approximately 10% of the URB.A shares outstanding.

The URB.A shares were purchased on the open market at significant discounts from the company's net asset value per share.

The shares purchased were cancelled and as a result the outstanding number of Urbana Class A Shares has been reduced to 70,000,000 as of February 8th, 2011.

Urbana's Net Asset Value ("NAV") per share is $1.94, as of February 7th, 2011.

Urbana Corporation is using the current share price discount from asset value (approximately $0.70 per share) to benefit existing shareholders.

Urbana's investment portfolio now combines publicly traded and private holdings, with a current focus on financial services.

To the knowledge of Urbana, no director, senior officer or other insider of Urbana currently intends to sell any Class A shares under the bid. However, sales by such persons through the facilities of the TSX may occur if the personal circumstances of any such person change or if any 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.

Urbana believes that the market price of its Class A Shares at certain times may be attractive and that the purchase of Class A Shares from time to time would be an appropriate use of corporate funds in light of potential benefits to remaining shareholders.

Forward-Looking Statements

Certain statements in this press release constitute "forward-looking" statements that involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Urbana to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Unless required by applicable securities law, Urbana does not assume any obligation to update these forward-looking statements.

Contact Information

  • Urbana Corporation
    Thomas S. Caldwell
    Chief Executive Officer
    416-595-9106
    www.urbanacorp.com