Extendicare Announces Normal Course Issuer Bid

MARKHAM, Ontario, June 27, 2022 (GLOBE NEWSWIRE) -- Extendicare Inc. (“Extendicare” or the “Company”) (TSX: EXE) announced today that the Toronto Stock Exchange (the “TSX”) has accepted a notice filed by Extendicare of its intention to make a normal course issuer bid (“NCIB”) for up to 7,829,630 of its common shares (the “Common Shares”), representing 10% of its public float of issued and outstanding Common Shares. As at June 16, 2022, there were 89,739,924 Common Shares issued and outstanding and the public float was 78,296,307 Common Shares, calculated in accordance with the rules of the TSX.

Purchases under the NCIB may commence on June 30, 2022 and continue until June 29, 2023, when the NCIB expires, or on such earlier date as the NCIB is complete. The actual number of Common Shares purchased under the NCIB and the timing of any such purchases will be at the Company’s discretion. Based on the average daily trading volume of 212,274 during the last six months, daily purchases will be limited to 53,068 Common Shares, other than block purchase exceptions.

Purchases made by Extendicare will be made through the facilities of the TSX and/or through alternative Canadian trading systems, in accordance with TSX rules. Any Common Shares purchased by the Company under the NCIB will be cancelled.

The Company’s board of directors has authorized the NCIB because it believes that, from time to time, the market price of Common Shares may be such that their purchase may be an attractive and appropriate use of corporate funds. The NCIB will provide the Company with additional flexibility to manage capital. Decisions regarding the timing of future purchases of Common Shares will be based on market conditions, share price, capital needs and other factors.

The Company has entered into an automatic purchase plan (“APP”) with its designated broker in connection with its NCIB to facilitate the purchase of Common Shares during times when the Company would ordinarily not be permitted to purchase Common Shares due to regulatory restrictions or self-imposed black-out periods. Before entering a black-out period, the Company may, but is not required to, instruct the broker to make purchases under the NCIB based on parameters set by the Company in accordance with the APP, TSX rules and applicable securities laws. The APP has been pre-cleared by the TSX.