VANCOUVER, July 11, 2019 /PRNewswire/ - Aritzia Inc.
("Aritzia" or the "Company") (TSX: ATZ) today announced that the
Toronto Stock Exchange ("TSX") has accepted its notice of intention
to proceed with a normal course issuer bid.
Aritzia's Board of Directors believes that a normal course
issuer bid represents an appropriate and desirable use of its
available cash, after investments in stores and strategic
infrastructure, to increase shareholder value and is in the best
interest of Aritzia and its shareholders. As at June 2, 2019, the Company had approximately
$35.8 million of cash on hand.
Any purchases made under the normal course issuer bid will be made
by Aritzia subject to favourable market conditions at the
prevailing market price at the time of acquisition through the
facilities of the TSX and/or alternative Canadian trading
systems.
Pursuant to the notice, Aritzia may purchase up to 3,624,915 of
its subordinate voting shares ("Shares"), representing
approximately 5% of the public float
of 72,498,302 Shares, during the twelve month period
commencing July 16, 2019 and ending
July 15, 2020. As at
July 2, 2019 there were 83,366,268
Shares issued and outstanding. Under the normal course issuer
bid, other than purchases made under block purchase
exemptions, Aritzia may purchase up to 86,043 Shares on
the TSX during any trading day, which represents approximately 25%
of 344,173, which represents the average daily trading volume on
the TSX for the most recently completed six calendar months prior
to the TSX's acceptance of the notice of the NCIB. Any Shares
purchased under the normal course issuer bid will be cancelled.
Under its prior normal course issuer bid that commenced on
May 15, 2018 and was suspended in
March, 2019, Aritzia previously sought and received approval from
the TSX to repurchase up to 5,429,658 Shares. The Company
repurchased 549,880 Shares for cancellation under its prior normal
course issuer bid at a volume weighted average price of
$17.07 per Share. All purchases
were made through the facilities of the TSX and/or alternative
Canadian trading systems on which the Shares trade from time to
time.
Although the Company intends to purchase Shares under its normal
course issuer bid, there can be no assurances that any such
purchases will be completed. Any purchases made under the normal
course issuer bid will be made by Aritzia at the prevailing market
price at the time of acquisition and through the facilities of the
TSX. The Company may rely on an automatic purchase plan during the
NCIB. The automatic purchase plan would allow for purchases by the
Company of Shares during certain pre-determined blackout periods,
subject to certain parameters and approval of the TSX.
About Aritzia
Aritzia is a vertically integrated, innovative design house of
fashion brands. The Company designs apparel and accessories for its
collection of exclusive brands. The Company's expansive and diverse
range of women's fashion apparel and accessories addresses a broad
range of style preferences and lifestyle requirements. Aritzia is
well known and deeply loved by its clients in Canada with growing client awareness and
affinity in the United States and
outside of North America. Aritzia
aims to delight its clients through an aspirational shopping
experience and exceptional client service that extends across its
more than 90 boutiques and eCommerce business,
aritzia.com.
Forward-looking statement
Certain information contained in this press release may
constitute forward-looking information under applicable securities
laws, including statements related to the Company's normal course
issuer bid, investments in store and strategic infrastructure and
other statements that are not historical facts. This information is
based on management's reasonable assumptions and beliefs in light
of the information currently available to us and are made as of the
date of this press release. However, we do not undertake to update
any such forward-looking information whether as a result of new
information, future events or otherwise, except as required under
applicable securities laws in Canada. Actual results and the timing of
events may differ materially from those anticipated in the
forward-looking information as a result of various factors,
including those described in "Risk Factors" which are described in
the Company's annual information form dated May 9, 2019 for the fiscal year ended
March 3, 2019 (the "AIF"). The
Company cautions that the list of risk factors and uncertainties is
not exhaustive and other factors could also adversely affect its
results. Readers are urged to consider the risks, uncertainties and
assumptions carefully in evaluating the forward-looking information
and are cautioned not to place undue reliance on such information.
See "Forward-looking Information"
and "Risk Factors" in the AIF for a discussion of the
uncertainties, risks and assumptions associated with these
statements.
The TSX has not reviewed and does not accept responsibility for
the adequacy or accuracy of this statement.
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SOURCE Aritzia Inc.
