Business
Amerigo Resources Announces Normal Course Issuer Bid
Up to 10.75 million shares could be retired during the course of the issuer bid Announcement Confirms Amerigo’s Corporate Focus on Shareholder Returns VANCOUVER
About this update from Amerigo Resources Ltd
[{"type":"text","content":" Up to 10.75 million shares could be retired during the course of the issuer bid Announcement Confirms Amerigo’s Corporate Focus on Shareholder Returns VANCOUVER, British Columbia, Nov. 30, 2021 (GLOBE NEWSWIRE) -- Amerigo Resources Ltd. (TSX: ARG; ARREF: OTC) (“Amerigo” or the “Company”) is pleased to announce that the Toronto Stock Exchange (the “TSX”) has accepted Amerigo’s application for a normal course issuer bid (the “NCIB”). Under the NCIB Amerigo may purchase up to 10,750,000 common shares (representing 6.14% of its 174,936,288 common shares outstanding as at November 29, 2021) over a period of twelve months commencing on December 2, 2021. The NCIB will terminate no later than December 1, 2022. “Amerigo’s Board of Directors believes that the purchase of common shares of the Company continues to represent a highly accretive use of capital,” said Aurora Davidson, Amerigo’s President and CEO. “We are pleased to have this normal course issuer bid now in place, having recently completed a substantial issuer bid where Amerigo retired more than 7.1 million common shares.” Under the NCIB, common shares may be purchased in open market transactions on the TSX at the prevailing market price at the time of such transaction. Pursuant to the rules of the TSX, the total number of common shares that Amerigo is permitted to purchase is subject to a daily purchase limit of 86,625 common shares, which represents 25% of the average daily trading volume of 346,502 common shares on the TSX for the six-month period ended October 31, 2021. However, Amerigo may make one block purchase per calendar week which exceeds the daily purchase restriction. All common shares purchased under the NCIB will be cancelled. The actual number of common shares purchased pursuant to the NCIB and the timing of such purchases will be determined by Amerigo. There cannot be any assurance as to how many common shares, if any, will ultimately be acquired by the Company. Pursuant to the recently completed substantial issuer bid, Amerigo acquired 7,116,345 common shares at a price of Cdn$1.30 per share. The Company originally sought to purchase common shares having an aggregate purchase price of Cdn$25 million by way of a modified Dutch auction for prices ranging between Cdn$1.18 and Cdn$1.30 per share. About Amerigo Amerigo Resources Ltd. is an innovative copper produce...