MISSISSAUGA, Ontario, Dec. 16, 2020 (GLOBE NEWSWIRE) -- goeasy Ltd. (TSX: GSY), (“goeasy” or the “Company”), a leading full-service provider of goods and alternative financial services, announced today the acceptance by the Toronto Stock Exchange (the “TSX”) of goeasy’s notice of intention to renew its normal course issuer bid (the “NCIB”). Pursuant to the NCIB, goeasy may purchase for cancellation up to an aggregate of 1,079,703 common shares in the capital of the Company (the “Common Shares”), representing approximately 10% of goeasy’s public float. As at December 9, 2020, goeasy had 14,801,169 Common Shares issued and outstanding.
Under the NCIB, goeasy may purchase up to 20,888 of its Common Shares on the TSX during any trading day, which represents 25% of the average daily trading volume of 83,554 Common Shares on the TSX for the six months ended November 30, 2020, other than block purchase exemptions. Purchases under the NCIB may commence on December 21, 2020 and continue until December 20, 2021 or such earlier date as goeasy completes its purchases pursuant to the NCIB.
The NCIB will provide the Company with the flexibility to purchase Common Shares as part of its capital management strategy which is designed to maintain healthy capital ratios while balancing the objective of generating shareholder value.
The NCIB will be conducted through the facilities of the TSX or alternative trading systems, if eligible, and the price that goeasy will pay for any Common Shares will be the market price prevailing at the time of purchase or such other price as may be permitted. Purchases under the NCIB will be made by means of open market transactions or other such means as a securities regulatory authority may permit, including pre-arranged crosses, exempt offers and private agreements under an issuer bid exemption order issued by a securities regulatory authority.
In connection with the NCIB renewal, the Company also announces that it has entered into an issuer automatic purchase plan agreement (the “Plan”) with an independent designated broker (the “Broker”) responsible for making purchases of Common Shares pursuant to the Plan. Under the Plan, the Broker will have sole discretion to purchase Common Shares pursuant to the NCIB during trading black-out periods established under the Company’s Insider Trading Policy, subject to the price limitations and other terms of the Plan and the rules of the TSX. The Company may instruct the Broker to make specific purchases and suspend or terminate the Plan, provided in each case that the Company certifies to the Broker that it is not in possession of any material undisclosed information and such request is otherwise in compliance with the terms of the Plan.
Under its current normal course issuer bid, which commenced on December 20, 2019 and expires on December 19, 2020, the number of Common Shares that could be repurchased for cancellation was 1,038,269. To date, the Company purchased for cancellation 767,855 Common Shares, through the facilities of the TSX, at a volume weighted average price of approximately $55.18 per Common Share.
goeasy Ltd., a Canadian company, headquartered in Mississauga, Ontario, provides non-prime leasing and lending services through its easyhome and easyfinancial divisions. With a wide variety of financial products and services including unsecured and secured instalment loans, goeasy aspires to help put Canadians on a path to a better financial future, as they rebuild their credit and graduate to prime lending. Customers can transact seamlessly with easyhome and easyfinancial through an omni-channel model that includes online and mobile, as well as over 400 leasing and lending locations across Canada supported by more than 2,000 employees. Throughout the company’s history, it has served over 1 million Canadians and originated $4.7 billion in loans, with one in three customers graduating to prime credit and 60% increasing their credit score within 12 months of borrowing.
goeasy is the proud recipient of several awards including Waterstone Canada’s Most Admired Corporate Cultures, Glassdoor Top CEO Award, Achievers Top 50 Most Engaged Workplaces in North America, Greater Toronto Top Employers Award, the Digital Finance Institute’s Canada’s Top 50 FinTech Companies, ranking on the TSX30 and placing on the Report on Business ranking of Canada’s Top Growing Companies. The company and its employees believe strongly in giving back to the communities in which it operates and has raised over $3 million to support its long-standing partnerships with the Boys & Girls Clubs of Canada and Habitat for Humanity.
goeasy Ltd.’s. common shares are listed on the TSX under the trading symbol “GSY”. goeasy is rated BB- with a stable trend from S&P and Ba3 with a stable trend from Moody’s. Visit www.goeasy.com.
For further information contact:
President & Chief Executive Officer
Farhan Ali Khan
Senior Vice President, Corporate Development and Investor Relations