StorageVault Announces Normal Course Issuer Bids for Common Shares and Debentures

TORONTO, Jan. 25, 2021 (GLOBE NEWSWIRE) -- STORAGEVAULT CANADA INC. (“StorageVault” or the “Corporation”) (SVI-TSX-V) is pleased to announce that it has received conditional acceptance from the TSX Venture Exchange to renew its Normal Course Issuer Bid (“NCIB”) to purchase for cancellation, during the 12-month period starting January 25, 2021, up to 18,312,741 of the outstanding Common Shares of the Corporation, representing 5% of the Common Shares outstanding. In addition, the Corporation has received conditional acceptance from the TSX Venture Exchange to commence a NCIB to purchase for cancellation, during the 12-month period starting January 25, 2021, outstanding senior unsecured hybrid debentures of the Corporation (“Debentures”) in the aggregate principal amount of $3,750,000, representing 5% of the currently outstanding $75,000,000 aggregate principal amount of Debentures‎. Each NCIB will end on January 24, 2022, unless the maximum amount of Common Shares or Debentures, as applicable, is purchased before then or StorageVault provides earlier notice of termination.

The purchase and payment for the Common Shares and the Debentures will be made by StorageVault through the facilities of the TSX Venture Exchange. National Bank Financial Inc. has been selected as StorageVault’s agent for the NCIBs. The price paid for the Common Shares or Debentures, as applicable, will be, subject to NCIB pricing rules contained in securities laws, the prevailing market price of such Common Shares or Debentures, as applicable, on the TSX Venture Exchange at the time of such purchase. StorageVault intends to fund the purchases out of available cash.

StorageVault believes that the market price of its Common Shares and Debentures may not reflect their underlying value and the Board of Directors has authorized this initiative because, in the Board’s opinion, the proposed purchase of Common Shares and Debentures pursuant to the NCIBs constitutes an appropriate use of StorageVault’s funds, and the repurchase of its Common Shares and Debentures is one way of creating securityholder value.

To the knowledge of StorageVault, no director, senior officer or other insider of the StorageVault currently intends to sell any Common Shares or Debentures under the NCIBs. However, sales by such persons through the facilities of the TSX Venture Exchange may occur if the personal circumstances of any such person changes or any such person makes a decision unrelated to these NCIB purchases. The benefits to any such person whose Common Shares or Debentures are purchased would be the same as the benefits available to all other holders whose Common Shares or Debentures are purchased.