Dominion Lending Centres Implements Normal Course Issuer Bid
Vancouver, British Columbia – May 24, 2022 – Dominion Lending Centres Inc. (TSX:DLCG) (“DLC” or the “Corporation”) is pleased to announce that its board of directors has approved the implementing of a normal course issuer bid (“NCIB”). A Notice of Intention to make a Normal Course Issuer Bid has been filed with, and accepted by, the Toronto Stock Exchange (the “TSX”).
DLC is implementing the NCIB as the Corporation’s directors and management believe that, from time to time, the Corporation will have available capital that is not deployed and purchasing DLC’s class “A” common shares (“Common Shares”) for cancellation is a good investment for the benefit of all shareholders.
The NCIB will commence on May 27, 2022 and will terminate on the earlier of: (i) May 26, 2023; and (ii) the date on which the maximum number of Common Shares that can be acquired pursuant to the NCIB are purchased. Purchases of Common Shares under the NCIB will be effected through the facilities of the TSX or alternative Canadian trading systems at the market price at the time of purchase.
As at the date hereof, there are an aggregate of 48,582,866 Common Shares issued and outstanding. DLC may purchase up to 1,200,000 Common Shares under the NCIB, which is 2.5% of the issued and outstanding Common Shares. Pursuant to the rules of the TSX, the maximum number of Common Shares that the Corporation may purchase under the NCIB in any one day is 5,185 Common Shares, which is 25% of the average daily trading volume of the Common Shares on the TSX for the period commencing on February 3, 2022 and ending on April 30, 2022 (the total average daily trading volume being 20,743 Common Shares). DLC may also make one block purchase per calendar week which exceeds such daily purchase restriction, subject to the rules of the TSX. Any Common Shares purchased pursuant to the NCIB will be cancelled by the Corporation.
DLC may establish an automatic share purchase plan under which the designated NCIB broker could purchase Common Shares pursuant to the NCIB based on parameters established by the Corporation. Any such plan would be subject to the prior approval of the TSX.
DLC’s previous NCIB expired on January 18, 2022 (the “Previous NCIB”). Under the Previous NCIB, DLC obtained the approval of the TSXV to purchase up to 2,332,697 Common Shares, which represented 5% of the Corporation’s issued and outstanding Common Shares at the time of approval. DLC purchased on the open market and cancelled an aggregate of 296,100 Common Shares under the Previous NCIB at a volume-weighted average purchase price of $3.20 per Common Share.
In addition to the Previous NCIB, the Corporation commenced a substantial issuer bid on November 29, 2021 (the “Previous SIB”), whereby it offered to acquire an aggregate of 3,000,000 Common Shares at a price of $3.75. The Previous SIB closed on January 11, 2022 and the Corporation took-up and paid for an aggregate of 1,781,790 Common Shares for a total cost of $6,681,713.
About Dominion Lending Centres Inc.
The DLC Group is Canada’s leading network of mortgage professionals. The DLC Group operates through Dominion Lending Centres and its three main subsidiaries, MCC Mortgage Centre Canada Inc., MA Mortgage Architects Inc. and Newton Connectivity Systems Inc., and has operations across Canada. The DLC Group’s extensive network includes ~7,750 agents and 530 locations. Headquartered in British Columbia, the DLC Group was founded in 2006 by Gary Mauris and Chris Kayat.
Contact information for the Corporation is as follows:
|Robin Burpee |
Co-Chief Financial Officer
Sr. Vice-President, Capital Markets