TORONTO, Aug. 28,
2023 /CNW/ - CareRx Corporation ("CareRx"
or "the Company") (TSX: CRRX) today announced that its
Board of Directors has authorized a normal course issuer bid (the
"NCIB") to purchase for cancellation up to 1,000,000 of its
common shares ("Shares"), representing approximately 1.73% of its
57,734,600 issued and outstanding Shares as at August
28, 2023. The NCIB is subject to the approval of the Toronto
Stock Exchange (the "TSX").
The Company is focused on creating long-term shareholder value
and it believes that its shares represent an attractive investment
opportunity, and that purchases under the NCIB will enhance the
value of the Shares held by the remaining shareholders. The NCIB
will provide optionality to return additional capital to
shareholders and the decision to repurchase CareRx shares will be
evaluated against other investment opportunities and internal
leverage guidelines.
It is expected that this normal course issuer bid will begin on
or around September 7, 2023 and will
end at the latest on or around September 6, 2024. Daily
purchases on the TSX under the NCIB will be limited to 25% of the
average daily trading volume on the TSX for the six months ending
July 31, 2023, other than purchases
made pursuant to the block purchase exception. The actual number of
Shares to be purchased, and the timing of any such purchases, will
be determined by the Company, subject to the applicable rules and
policies of the TSX. The Company will only make purchases under the
normal course issuer bid once all regulatory approvals are
obtained, and the Shares acquired will be cancelled.
Although the Company presently intends to purchase Shares under
its NCIB, there can be no assurances that any such purchases will
be completed. The purchases will be made through the facilities of
the TSX and/or any alternative trading system in Canada. The Company will pay the market price
for the common shares at the time of acquisition and the purchases
will be made in accordance with applicable regulatory
requirements.
About CareRx Corporation
CareRx is Canada's leading
provider of pharmacy services to seniors living communities. We
serve over 95,000 residents in over 1,500 seniors and other
congregate care communities (long-term care homes, retirement
homes, assisted living facilities, and group homes). We are a
national organization with a large network of pharmacy fulfillment
centres strategically located across the country. This allows us to
deliver medications in a timely and cost-effective manner and
quickly respond to routine changes in medication management. We use
best-in-class technology that automates the preparation and
verification of multi-dose compliance packaging of medication,
providing the highest levels of safety and adherence for
individuals with complex medication regimes. We take an active role
in working with our home operator partners to promote resident
health, staff education, and medication system quality and
efficiency.
Forward-Looking Statements
This press release contains statements that may constitute
"forward-looking statements" within the meaning of applicable
Canadian securities legislation, including statements relating to
the NCIB. These forward-looking statements include, among others,
statements regarding the Company's business strategy, plans and
other expectations, beliefs, goals, objectives, information and
statements about possible future events. Forward-looking statements
generally can be identified by the use of forward-looking
terminology such as "may", "will", "expect", "intend", "estimate",
"anticipate" or similar expressions suggesting future outcomes or
events. Such forward-looking statements reflect management's
current beliefs and are based on information currently available to
management.
Forward-looking statements involve risks and uncertainties that
could cause actual results to differ materially from those
contemplated by such statements. Factors that could cause such
differences include the Company's general business risks, exposure
to and reliance on government regulation and funding, the Company's
liquidity and capital requirements, exposure to epidemic or
pandemic outbreak, reliance on contracts with key customers and
other risk factors described from time to time in the reports and
disclosure documents filed by the Company with Canadian securities
regulatory agencies and commissions. These and other factors should
be considered carefully and readers should not place undue reliance
on the Company's forward-looking statements. As a result of the
foregoing and other factors, no assurance can be given as to any
such future results, levels of activity or achievements and neither
the Company nor any other person assumes responsibility for the
accuracy and completeness of these forward-looking statements. The
factors underlying current expectations are dynamic and subject to
change.
SOURCE CareRX Corporation