Superior Plus Receives TSX Approval for Normal Course Issuer Bid
TORONTO–(BUSINESS WIRE)–Superior Plus Corp. (“Superior”) is pleased to announce that the Toronto Stock Exchange (“TSX”) has accepted Superior’s notice of intention to commence a normal course issuer bid (“NCIB”) through the facilities of the Toronto Stock Exchange (“TSX”) and/or other alternative trading platforms in Canada.
The NCIB will commence on October 13, 2022 and will terminate on the earlier of October 12, 2023, the date on which Superior has purchased the maximum number of Common Shares permitted under the NCIB or the date on which Superior terminates the NCIB in accordance with its terms. Superior believes that in the event the Common Shares trade in a price range that does not fully reflect their value, the acquisition of Common Shares may represent an attractive and desirable use of available funds.
“Consistent with our dynamic capital allocation approach, the NCIB will provide optionality to return capital to shareholders in addition to our regular monthly dividend,” said Luc Desjardins, President and Chief Executive Officer. “We will continue to exercise strict capital discipline, and the decision to repurchase Superior shares will be evaluated against our other investment opportunities, including acquisitions, and leverage guidelines. We are focused on creating long-term shareholder value, and we will allocate capital to only our most accretive opportunities.”
The NCIB is intended to augment Superior’s ongoing return of capital to shareholders through dividends. Superior believes that the market price of its common shares may not, from time to time, accurately reflect their underlying value. Accordingly, purchasing its own common shares for cancellation under the NCIB may represent an attractive investment opportunity to enhance shareholder value.
Under the NCIB, Superior may, over a 12-month period commencing on October 13, 2022, purchase in the normal course through the facilities of the TSX and/or Canadian alternative trading systems, up to 10,085,599 Common Shares, such amount representing 5% of the 201,711,987 Common Shares issued and outstanding as of September 30, 2022. Purchases under the NCIB will be subject to certain pricing limits set by the board of directors of Superior from time to time. Furthermore, subject to certain exemptions for block purchases, the maximum number of Common Shares that Superior may acquire on any one trading day is 123,619 Common Shares, such amount representing 25% of the average daily trading volume of the Common Shares of 494,479 for the six calendar months prior to the start of the NCIB. All Common Shares purchased by Superior under the NCIB will be cancelled.
Superior has engaged a broker to administer the NCIB. Superior will also enter into an automatic purchase plan (“APP”) with its broker in relation to the NCIB to facilitate purchases of Common Shares under the NCIB at times when Superior normally would not be active in the market due to its own internal trading blackout periods, insider trading rules or otherwise. Pursuant to the APP, from time to time, when Superior is not in possession of material non-public information about itself or its securities, Superior may, but is not required to, direct its broker to make purchases of Common Shares under the NCIB during an ensuing trading blackout period. Such purchases will be based on trading parameters established by Superior prior to the trading blackout period in accordance with the rules of the TSX, applicable securities laws and the terms of the APP.
About the Corporation
Superior is a leading North American distributor and marketer of propane and distillates and related products and services, servicing approximately 890,000 customer locations in the U.S. and Canada.
For further information about Superior, please visit Superior’s website at: www.superiorplus.com or contact: Beth Summers, Executive Vice President and Chief Financial Officer, Tel: (416) 340-6015, or Rob Dorran, Vice President, Capital Markets, Tel: (416) 340-6003, E-mail: investor-relations@superiorplus.com, Toll-Free: 1-866-490-PLUS (7587).
Forward-Looking Information
This news release contains certain forward-looking information and statements based on Superior’s current expectations, estimates, projections and assumptions in light of its experience and perception of historical trends. In this news release, such forward-looking information and statements can be identified by terminology such as “may”, “will”, “expects”, and similar expressions.
In particular, this news release contains forward-looking statements and information relating to share repurchases under the NCIB, including potential repurchases to be made and the effects and benefits of the NCIB. These forward-looking statements are being made by Superior based on certain assumptions that Superior has made in respect thereof as at the date of this news release regarding, among other things: prevailing and future market prices for the Common Shares, prevailing and future commodity prices, margins, volumes and exchange rates; that Superior’s future results of operations will be consistent with past performance and management expectations in relation thereto; the continued availability of capital; future cash flow and debt levels; and that all required regulatory approvals will be obtained in a timely manner. These forward-looking statements are not guarantees of future performance and are subject to several known and unknown risks and uncertainties, including, but not limited to: general economic and market conditions in Canada, North America and elsewhere; market prices for the Common Shares being too high to realize the anticipated benefits of the NCIB; fluctuations in operating results; and certain other risks detailed from time to time in Superior’s public disclosure documents including, among other things, those detailed under the heading “Risk Factors” in Superior’s management’s discussion and analysis and annual information form for the year ended December 31, 2021, which can be found at www.sedar.com.
Accordingly, readers are cautioned that events or circumstances could cause results to differ materially from those predicted, forecasted or projected. Such forward-looking statements are expressly qualified by the above statements. Superior does not undertake any obligation to publicly update or revise any forward looking statements or information contained herein, except as required by applicable laws.
Contacts
Beth Summers
Executive Vice President and Chief Financial Officer
Tel: (416) 340-6015
Rob Dorran
Vice President, Capital Markets
Tel: (416) 340-6003
E-mail: investor-relations@superiorplus.com
Toll-Free: 1-866-490-PLUS (7587)
