TORONTO, Jan. 13, 2022 /PRNewswire/ - Corus
Entertainment Inc. ("Corus" or the "Company") (TSX: CJR.B)
announced today that the Toronto Stock Exchange (the "TSX") has
accepted the notice filed by the Company to commence a normal
course issuer bid ("NCIB") for a one year period.
On December 21, 2021, the Company
announced its intention to seek TSX approval to commence an NCIB
for a one year period. The NCIB commences on January 17, 2022 and will terminate on
January 16, 2023, or on such earlier
date as the Company may complete its purchases pursuant to a Notice
of Intention filed with the TSX. Under the NCIB, the Company is
authorized to purchase up to 9,669,705 of its Class B
non-voting shares (out of the 204,954,666 Class B non-voting shares
outstanding as at January 3, 2022)
representing approximately 5% of the public float as at
January 3, 2022, by way of normal
course purchases effected through the facilities of the TSX and/or
alternative Canadian trading systems. Daily repurchases will be
limited to a maximum of 231,935 Class B non-voting shares,
representing 25% of the average daily trading volume for the six
months ended December 31, 2021 (being
927,743 Class B non-voting shares), except where purchases are made
in accordance with the "block purchase exception" of the TSX rules.
All shares purchased by the Company under the NCIB will be
cancelled.
In deciding to establish the NCIB, the Company believes that the
market price of the Class B non-voting shares may not, from time to
time, fully reflect their value and accordingly the purchase of the
Class B non-voting shares would be in the best interest of the
Company and an attractive and appropriate use of available
funds.
Purchases will be made by the Company in accordance with the
requirements of the TSX and the price which the Company will pay
for any such Class B non-voting shares will be the market price of
any such Class B non-voting shares at the time of acquisition, or
such other price as may be permitted by the TSX.
In connection with the NCIB, the Company will enter into an
automatic repurchase plan with its designated broker to allow for
purchases of its Class B non-voting shares during certain
pre-determined black-out periods, subject to certain parameters as
to price and number of shares. Outside of these pre-determined
black-out periods, shares will be repurchased in accordance with
management's discretion, subject to applicable law. The plan has
been pre-cleared by the TSX and will terminate on January 16, 2023.
Pursuant to a previous notice of intention to conduct a normal
course issuer bid, the Company sought and received approval from
the TSX to purchase up to 9,673,416 Class B non-voting shares for
the period commencing on November 26,
2020 to November 25, 2021. The
Company did not repurchase and cancel any Class B non-voting shares
under that prior bid.
Although the Company has a present intention to acquire its
Class B non-voting shares pursuant to the NCIB, the Company will
not be obligated to make any purchases and purchases may be
suspended by the Company at any time.
Caution Concerning Forward-Looking Information
This press release contains forward-looking information and
should be read subject to the following cautionary
language:
To the extent any statements made in this press release
contain information that is not historical, these statements are
forward-looking statements and may be "forward-looking information"
within the meaning of applicable securities laws (collectively,
"forward-looking information"). This forward-looking information
relates to, among other things, statements related to the NCIB and
future purchases of Class B non-voting shares pursuant to the NCIB,
and can generally be identified by the use of words such as
"believe", "anticipate", "expect", "intend", "plan", "will", "may"
and other similar expressions. In addition, any statements that
refer to expectations, projections or other characterizations of
future events or circumstances may be considered forward-looking
information. Although Corus believes that the expectations
reflected in such forward-looking information are reasonable, such
information involves assumptions and risks and uncertainties and
undue reliance should not be placed on such statements. Certain
material factors or assumptions are applied with respect to the
forward-looking information, including without limitation, factors
and assumptions regarding the general market conditions and general
outlook for the industry including the potential impact of new
competition and industry mergers and acquisitions, interest rates,
stability of the advertising, distribution, merchandise and
subscription markets, operating and capital costs and tariffs,
taxes and fees, the Company's ability to source desirable content
and the Company's capital and operating results being consistent
with its expectations. Actual results may differ materially from
those expressed or implied in such information. Important factors
that could cause actual results to differ materially from these
expectations include, among other things: the Company's ability to
attract and retain advertising revenue; audience acceptance of the
Company's television programs and cable networks; the Company's
ability to recoup production costs, the availability of tax credits
and the existence of co-production treaties; the Company's ability
to compete in any of the industries in which it does business; the
opportunities (or lack thereof) that may be presented to and
pursued by the Company; conditions in the entertainment,
information and communications industries and technological
developments therein; changes in laws or regulations or the
interpretation or application of those laws and regulations; the
Company's ability to integrate and realize anticipated benefits
from its acquisitions and to effectively manage its growth; the
Company's ability to successfully defend itself against litigation
matters arising out of the ordinary course of business; failure to
meet covenants under the Company's senior credit facility or senior
unsecured notes; epidemics, pandemics or other public health
crises, including the current outbreak of COVID-19 and changes in
accounting standards. Additional information about these factors
and about the material assumptions underlying any forward-looking
information may be found under the heading "Risks and
Uncertainties" in the Management's Discussion and Analysis for the
year ended August 31, 2021 and under
the heading "Risk Factors" in the Company's Annual Information
Form. Corus cautions that the foregoing list of important
assumptions and factors that may affect future results is not
exhaustive. When relying on the Company's forward-looking
information to make decisions with respect to Corus, investors and
others should carefully consider the foregoing factors and other
uncertainties and potential events. Unless otherwise specified, all
forward-looking information in this document speaks as of the date
of this document. Unless otherwise required by applicable
securities laws, Corus disclaims any intention or obligation to
publicly update or revise any forward-looking information whether
as a result of new information, events or circumstances that arise
after the date thereof or otherwise.
About Corus Entertainment Inc.
Corus Entertainment Inc. (TSX: CJR.B) is a leading media and
content company that develops and delivers high quality brands and
content across platforms for audiences around the world. Engaging
audiences since 1999, the company's portfolio of multimedia
offerings encompass 33 specialty television services, 39 radio
stations, 15 conventional television stations, a suite of digital
and streaming assets, animation software, technology and media
services. Corus is an internationally-renowned content creator and
distributor through Nelvana, a world class animation studio expert
in all formats and Corus Studios, a globally recognized producer of
hit scripted and unscripted content. The company also owns
innovative full-service social digital agency so.da, lifestyle
entertainment company Kin Canada, leading 2D animation software
supplier Toon Boom and children's book publishing house, Kids Can
Press. Corus' roster of premium brands includes Global Television,
W Network, HGTV Canada, Food Network Canada, HISTORY®, Showcase,
Adult Swim, National Geographic, Disney Channel Canada, YTV, Global
News, Globalnews.ca, Q107, Country 105, and CFOX, along with
broadly distributed Canadian streaming platforms STACKTV, Nick+,
the Global TV App and Curiouscast. For more information visit
www.corusent.com.
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SOURCE Corus Entertainment Inc.