VANCOUVER, BRITISH COLUMBIA--(Marketwired - Sep 5, 2013) - Tree Island Steel Ltd. (the "Company" or "Tree Island") (TSL.TO)(TSX:TSL.DB) announced today that it has received approval from the Toronto Stock Exchange (the "TSX") to renew its normal course issuer bid. The renewed normal course issuer bid will commence on September 9, 2013 and, subject to renewal, will terminate on the earlier of September 8, 2014 and the date on which Tree Island has acquired the maximum number of common shares permitted under the bid. Tree Island previously acquired 32,400 common shares pursuant to the normal course issuer bid that commenced on September 7, 2012 at a weighted average price of $0.499 per common share.
As of August 30, 2013, 23,889,150 common shares of Tree Island are issued and outstanding. Under the rules of the TSX, from September 9, 2013 to September 8, 2014 Tree Island may acquire up to 1,800,000 common shares under the bid, such number representing approximately 10% of the public float (as such term is defined in the policies and procedures of the TSX) of Tree Island's issued and outstanding common shares as at August 30, 2013. Subject to certain exemptions for block purchases, the maximum number of common shares that Tree Island may purchase on any one trading day is 5,001 common shares up to and including September 8, 2014, representing 25% of the average daily trading volume of 20,004 common shares for the previous six months.
Under the bid, Tree Island will from time to time acquire its common shares at the then current market price through the facilities of the TSX and other Canadian marketplaces. All common shares purchased under the bid will be cancelled. The actual number of common shares purchased, the time of purchases and the price at which the common shares will be acquired will depend on future market conditions. Tree Island's board of directors has determined that at the current market price the repurchase of its common shares is a desirable use of funds for Tree Island and is in the best interests of Tree Island and its shareholders.
About Tree Island Steel
Headquartered in Richmond, British Columbia, since 1964, Tree Island Steel, through its four operating facilities in Canada and the United States, produces wire products for a diverse range of industrial, residential construction, commercial construction, agricultural, and specialty applications. Its products include galvanized and bright wire; a broad array of fasteners, including packaged, collated and bulk nails; stucco reinforcing products; concrete reinforcing mesh; fencing and other fabricated wire products. The Company markets these products under the Tree Island, Halsteel, K-Lath, Industrial Alloys, TI Wire, and Tough Strand and Select Brand names. Tree Island Steel also owns and operates a China-based company that assists the international sourcing of products.