Common Share Buy Back Program of TECSYS Inc.
MONTREAL (July 17, 2007) – TECSYS Inc. (TSX: TCS), announces that the Toronto Stock Exchange (the “TSX”) has accepted its notice of intention to renew its “normal course issuer bid” to purchase some of its outstanding common shares through the facilities of such exchange. Up to 684,064 common shares, being approximately 5% of the 13,681,297 common shares outstanding as of July 4, 2007 may be bought under the bid. The common shares will be purchased by TECSYS for cancellation.
The number of shares that TECSYS intends to purchase and the time of such purchases will be determined by TECSYS, at its discretion. The purchase period will begin July 19, 2007 and will end on the earlier of July 18, 2008 or the date on which TECSYS will have either acquired the maximum number of common shares or otherwise decided not to make any further purchases.
The Board of Directors of TECSYS has concluded that the purchase of up to 684,064 common shares is a desirable use of funds for TECSYS and, therefore, would be in the best interests of TECSYS and its shareholders. The purpose of the purchases of common shares is to increase the proportionate share interest in TECSYS of those shareholders who retain their shares. Within the past twelve months, TECSYS purchased 20,000 common shares at an average price of $1.20 per common share under a normal course issuer bid which will expire on July 18, 2007.
The average daily trading volume of TECSYS over the last six complete calendar months was 6,027 common shares (the “ADTV”). Under TSX rules, TECSYS may purchase up to 25% of the ADTV (or 1,506 common shares) per trading day. Once a week, in excess of the daily repurchase limit, TECSYS may purchase a block of common shares not owned by an insider (i) having a purchase price of $200,000 or more, (ii) of at least 5,000 common shares with a purchase price of at least $50,000, or (iii) of at least 20 board lots of common shares which total 150% or more of the ADTV.
To the knowledge of TECSYS, after reasonable inquiry, no director, senior officer or any of their associates, or any person acting jointly or in concert with TECSYS, or any person holding 10% or more of the voting shares currently intends to sell common shares under the issuer bid.
Source: Tecsys
