Press release from Marketwire
GuestLogix Announces Normal Course Issuer Bid
Monday, August 08, 2011
TORONTO, ONTARIO--(Marketwire - Aug. 8, 2011) - GuestLogix Inc. (TSX:GXI) ("GuestLogix" or the "Company"), the leading transaction processor of ancillary revenues and the provider of onboard store technology to airlines and the passenger travel industry, today announced that it has received approval from the Toronto Stock Exchange ("TSX") to launch a Normal Course Issuer Bid ("NCIB").
GuestLogix will repurchase up to 3,846,805 of its common shares, representing approximately 10% of the Company's public float, subject to a maximum purchase of $2.0 million during the 12-month period (the "Bid Period") commencing August 9, 2011 and expiring August 8, 2012. The timing and exact number of common shares the Company will purchase will be at GuestLogix' discretion, will depend on market conditions and the Company may suspend or discontinue the NCIB at any time. As of August 5, 2011, GuestLogix had 64,872,391 common shares issued and outstanding with a public float of 38,468,045 common shares.
The Company's common shares have been trading in a price range that may not adequately reflect their value in relation to the Company's business and future business prospects. As a result, the purchase of the Company's common shares under the bid is appropriate and in the best interest of the Company and its stakeholders.
Purchases under the NCIB will be made at the prevailing market price through the facilities of the TSX, and payment for the common shares will be in accordance with TSX policies. The maximum number of common shares that GuestLogix may purchase on a daily basis is 16,312, representing 25% of the Company's average daily trading volume (65,248 common shares) over the last six complete calendar months. No purchases will be made other than by means of open market transactions during the Bid Period except where purchases are made in accordance with "block purchases" exemptions under applicable TSX policies. All common shares repurchased by the Company during the Bid Period will be cancelled.
To GuestLogix' knowledge, no director, senior officer, their associates, or persons acting jointly or in concert with the Company intends to sell common shares during the Bid Period. Should that change, the Company will suspend purchases under the NCIB until such person's sales are completed.
GuestLogix has not previously purchased any common shares pursuant to any issuer bid.
GuestLogix is the leading global transaction processor of ancillary revenues and the provider of onboard store technology and merchandising, which helps airlines and other operators create, manage, and control onboard retail environments tailored to their needs and their passengers. Serving approximately 40% of the global airline passenger traffic, GuestLogix has become a trusted onboard transaction processing partner to airlines around the world. The Company is headquartered in Toronto, Canada and maintains sales and support facilities in the US, UK, Singapore, and Seoul, South Korea. GuestLogix is publicly traded on The Toronto Stock Exchange (Symbol: GXI.T). More information is available at www.guestlogix.com.
© 2011 GuestLogix. All Rights Reserved.
This news release includes certain forward-looking statements that are based upon current expectations, which involve risks and uncertainties associated with GuestLogix' business and the environment in which the business operates. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions "anticipate", "believe", "plan", "estimate", "expect", "intend", and similar expressions to the extent they relate to the Company or its management. The forward-looking statements are not historical facts, but reflect GuestLogix' current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including the matters discussed under "Risks and Uncertainties" in the Filing Statement filed on July 14, 2011 with the regulatory authorities. GuestLogix assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements.
FOR FURTHER INFORMATION PLEASE CONTACT:
Brian Reddy GuestLogix Chief Financial Officer 416-987-7053 email@example.com
Kristen Dickson TMX / Equicom 416-815-0700 ext. 273 firstname.lastname@example.org