VANCOUVER, May 21, 2019 /CNW/ - Ritchie Bros. Auctioneers Incorporated (NYSE
& TSX: RBA, the "Company" or "Ritchie
Bros.") announces today that it has obtained the approval of
the Toronto Stock Exchange (the "TSX") to commence a normal course
issuer bid ("NCIB"). The NCIB will allow the Company to use its
share repurchase program to primarily neutralize share dilution
from options.
NCIB Details
The NCIB will commence on May 23,
2019 and will terminate on May 22,
2020 or on such earlier date as the Company may complete its
purchases thereunder or as it may otherwise determine. Under the
NCIB, the Company may purchase up to the lesser of 5,449,204 common
shares (such amount representing 5% of the common shares of the
Company issued and outstanding as of May 10,
2019) and that number of common shares worth an aggregate of
US$100 million. Furthermore, subject
to certain exemptions for block purchases, the maximum number of
its common shares that the Company may purchase on any one trading
day on the TSX is 31,957 common shares, such amount representing
25% of the average daily trading volume of the common shares of the
Company on the TSX alone for the six calendar months ended
April 30, 2019.
As of May 10, 2019, 108,984,083
common shares of the Company were issued and outstanding. All
common shares of the Company purchased under the new NCIB will be
cancelled.
The Company believes that purchasing its common shares for
cancellation to mitigate dilution from options represents an
appropriate and desirable use of available funds.
The Company's common shares under the NCIB may be purchased
through a combination of an automatic repurchase plan (the
"Purchase Plan"), as well as at management's discretion in
compliance with regulatory requirements and given market, cost and
other considerations. Under the Purchase Plan, the Company's broker
may repurchase shares under the NCIB at any time including, without
limitation, when the Company would ordinarily not be permitted to
do so due to regulatory restrictions or self-imposed blackout
periods. Purchases will be made by the Company's broker based upon
the parameters prescribed by the TSX, applicable Canadian and U.S.
securities laws and the terms of the parties' written
agreement.
Purchases under the NCIB may be made at the then current market
price of the Company's common shares through the facilities of the
TSX, the New York Stock Exchange (the "NYSE") or alternative
trading platforms in Canada or
the United States by means of open
market transactions or by such other means as may be permitted by
the TSX and applicable Canadian and U.S. securities laws.
There can be no assurance as to the precise number of common
shares that will be repurchased under the NCIB, or the aggregate
dollar amount of the common shares purchased. The Company may
discontinue purchases at any time, subject to compliance with
applicable regulatory requirements.
About Ritchie
Bros.
Established in 1958, Ritchie Bros. (NYSE and TSX: RBA) is a global
asset management and disposition company, offering customers
end-to-end solutions for buying and selling used heavy equipment,
trucks and other assets. Operating in a number of sectors,
including construction, transportation, agriculture, energy, oil
and gas, mining, and forestry, the company's selling channels
include: Ritchie
Bros. Auctioneers, the world's largest industrial
auctioneer offers live auction events with online bidding;
IronPlanet, an online marketplace with featured weekly auctions and
providing the exclusive IronClad Assurance® equipment
condition certification; Marketplace-E, a controlled marketplace
offering multiple price and timing options; Mascus, a
leading European online equipment listing service; and Ritchie Bros. Private Treaty, offering
privately negotiated sales. The company's suite of multichannel
sales solutions also includes RB Asset Solutions, a complete
end-to-end asset management and disposition system. Ritchie Bros. also offers sector-specific
solutions including GovPlanet, TruckPlanet, and Kruse Energy
Auctioneers, plus equipment financing and leasing through
Ritchie Bros.
Financial Services. For more information about Ritchie Bros., visit RitchieBros.com.
Forward-looking Statements
This news release contains
forward-looking statements and forward-looking information within
the meaning of applicable U.S. and Canadian securities legislation
(collectively, "forward-looking statements"), including, in
particular, statements regarding the NCIB, potential share
repurchases, investment opportunities, cash flows and dividends.
Forward-looking statements are statements that are not historical
facts and are generally, although not always, identified by words
such as "expect", "plan", "anticipate", "project", "target",
"potential", "schedule", "forecast", "budget", "estimate", "intend"
or "believe" and similar expressions or their negative
connotations, or statements that events or conditions "will",
"would", "may", "could", "should" or "might" occur. All such
forward-looking statements are based on the opinions and estimates
of management as of the date such statements are made.
Forward-looking statements necessarily involve assumptions, risks
and uncertainties, certain of which are beyond the Company's
control, including the numerous factors that influence the supply
of and demand for used equipment; economic and other conditions in
local, regional and global sectors; the Company's ability to
successfully integrate IronPlanet, and to receive the anticipated
benefits of the IronPlanet acquisition; and the risks and
uncertainties set forth in the Company's Annual Report on Form 10-K
for the year ended December 31, 2018,
which is available on the SEC, SEDAR, and Company websites. The
foregoing list is not exhaustive of the factors that may affect the
Company's forward-looking statements. There can be no assurance
that forward-looking statements will prove to be accurate, and
actual results may differ materially from those expressed in, or
implied by, these forward-looking statements. Forward looking
statements are made as of the date of this news release and the
Company does not undertake any obligation to update the information
contained herein unless required by applicable securities
legislation. For the reasons set forth above, you should not place
undue reliance on forward looking statements.
View original
content:http://www.prnewswire.com/news-releases/ritchie-bros-receives-tsx-approval-for-normal-course-issuer-bid-share-repurchase-program-300853768.html
SOURCE Ritchie Bros.
Auctioneers