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Mainstreet intends to repurchase up to CDN$43.2 million of its common shares through a substantial issuer bid
Mainstreet intends to repurchase up to CDN$43.2 million of its common shares through a sub...
About this update from Mainstreet Equity Corp.
[{"type":"text","content":"\n\n\n\nMainstreet intends to repurchase up to CDN$43.2 million of its common shares through a substantial issuer bid\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\nMainstreet intends to repurchase up to CDN$43.2 million of its common shares through a substantial issuer bid\nCanada NewsWire\nCALGARY, March 2, 2016\n\n\n\nCALGARY, March 2, 2016 /CNW/ - Mainstreet Equity Corp. (\"Mainstreet\" or the \"Corporation\"), today announced that it intends to make a substantial issuer bid (the \"Offer\") pursuant to which the Corporation will offer to purchase for cancellation up to 1,200,000 of its outstanding common shares (\"Shares\") a price of $36.00 per Share, a 14.3% premium over the closing price on the Toronto Stock Exchange on Tuesday, March 1, 2016.  No minimum number of Shares need to be tendered but the maximum number of Shares that may be purchased by Mainstreet is 1,200,000, representing approximately 11.8% of the currently issued and outstanding Shares. If more than 1,200,000 Shares are tendered to the Offer, Mainstreet will purchase the Shares on a pro rata basis. The Offer is expected to commence on or about March 7, 2016 and will expire on or about 5:00 p.m. (Eastern Time) on or about April 12, 2016, unless terminated or extended by Mainstreet. Mainstreet will fund the purchase of the Shares with cash on hand.\n\nThe board of directors of the Corporation (the \"Board\") believe that the purchase of the Shares under the Offer represents an advisable use of Mainstreet's financial resources and is in the best interest of the shareholders of the Corporation.  Mainstreet and its Board believe that the recent trading price of the Shares is not reflective of the underlying value of the Corporation's assets or its long term growth prospects.  In addition, the Offer allows Mainstreet the opportunity to return up to $43.2 million of capital to its shareholders who have their Shares taken up and paid for pursuant to the Offer while at the same time increasing the proportionate Share ownership of shareholders who did not have their Shares taken up and paid f...