High Liner Announces Intention to Proceed with Normal Course Issuer Bid
High Liner Foods Incorporated announced that it has filed a notice with the Toronto Stock Exchange and received approval to purchase through the facilities of the Toronto Stock Exchange up to 663,000 of the 13,271,809 issued and outstanding Common Shares, representing just under 5% of the issued and outstanding Common Shares as of December 15, 2010, and up to 93,840 of the 1,876,820 issued and outstanding Non-Voting Equity Shares, representing 5% of the issued and outstanding Non-Voting Equity Shares as of December 15, 2010, reports www.megafishnet.com with reference to High Liner Foods.
The price the Company will pay for any Common Shares or Non-Voting Equity Shares acquired will be the market price at the time of acquisition. Purchases under the normal course issuer bid will be made by the Company and the shares so acquired shall be cancelled. Purchases may commence on December 17, 2010 and will terminate no later than December 16, 2011.
The average daily trading volume (the ADTV) of the Common Shares was 3,270 and the ADTV of the Non-Voting Equity Shares was 150 on the TSX over the six months ending November 30, 2010. Under the TSX rules, the Company is entitled to purchase up to the greater of 25% of the ADTV of the respective class of shares or 1,000 shares on any trading day, or a larger amount of Common Shares and Non-Voting Equity Shares per calendar week, subject to the maximum number that may be acquired under the normal course issuer bid, if the transaction meets the block purchase exception under the TSX rules. Accordingly, unless a block purchase meeting the block purchase exception under the TSX rules is made, the Company is entitled to purchase up to 1,000 Common Shares and 1,000 Non-Voting Equity Shares on any trading day.
The Board of Directors and Senior Management of High Liner are of the opinion that from time to time the purchase of its shares at the prevailing market price is in the best interests of High Liner and its shareholders. In the last 12 months, High Liner has not acquired any Common Shares or Non-Voting Equity Shares under the terms of a Normal Course Issuer Bid that expired on November 24, 2010. However, in the last 12 months High Liner has redeemed 3,185,030 of the Non-Voting Equity Shares pursuant to a temporary reduction right in accordance with their terms. The High Liner pension plan also purchased 9,200 Common Shares over the last 12 months.
About High Liner Foods Incorporated
High Liner Foods Incorporated is a leading North American processor and marketer of prepared, value-added frozen seafood. High Liner's branded products are sold throughout the United States, Canada and Mexico under the High Liner(R), Fisher Boy(R), Mirabel(R) and Sea Cuisine(R) labels, and are available in most grocery and club stores. The Company also sells its High Liner(R), FPI(R) and Mirabel(R) food service products to restaurants and institutions, and is a major supplier of private label seafood products to North American food retailers and food service distributors. High Liner Foods is a publicly traded Canadian company. Its Common Shares trade under the symbol HLF and its Non-Voting Equity Shares trade under the symbol HLF.A on the Toronto Stock Exchange.