ROUGEMONT, QC, Jan. 10, 2014 /CNW Telbec/ - Lassonde Industries Inc. (TSX: LAS.A) announces that it intends to acquire for cancellation, if considered advisable, a certain number of Class "A" subordinate voting shares of its share capital through the facilities of the Toronto Stock Exchange, in accordance with the requirements on normal course issuer bids of the Toronto Stock Exchange (Bid).
Lassonde intends to acquire Class "A" subordinate voting shares, without exceeding 177,712 Class "A" subordinate voting shares of its share capital (representing 10% of the public float being 1,777,128 shares as at January 1, 2014) during the period beginning on January 14, 2014 and ending on or before January 13, 2015. As at January 1, 2014, there were 3,235,300 issued and outstanding Class "A" subordinate voting shares. In connection with the Bid, Lassonde will establish an automatic purchase plan (Plan). The Plan will enable Lassonde to provide standard instructions regarding how the Class "A" subordinate voting shares are to be repurchased on the open market during self-imposed blackout periods. The Plan should terminate together with the Bid. It will constitute an automatic plan for purposes of applicable Canadian securities legislation and will be reviewed by the TSX.
The average daily trading volume of Lassonde's Class "A" subordinate voting shares over the last six completed calendar months was 1,619 (ADTV). Accordingly, under the Toronto Stock Exchange Rules and policies, Lassonde is entitled on any trading day to purchase up to 1,000 Class "A" subordinate voting shares. Once a week, in excess of the daily 1,000 repurchase limit, Lassonde may also purchase a block of shares not owned by an insider (i) having a purchase price of $200,000 or more, or (ii) of at least 5,000 shares having a purchase price of at least $50,000, or (iii) of at least 20 board lots of shares which total 150% or more of the ADTV, the whole in accordance with the Toronto Stock Exchange rules.
During the period from January 13, 2013 to January 1, 2014 Lassonde has not acquired any Class "A" subordinate voting shares.
Lassonde is making the normal course issuer bid because it is of the view that it may be advantageous to engage in purchases of the Class "A" subordinate voting shares, from time to time, when, in the opinion of management, they are trading at prices which reflect a discount from what management considers to be the appropriate value of the Class "A" subordinate voting shares. In addition, Lassonde is of the opinion that its shareholders will benefit from the reduction of the number of Class "A" subordinate voting shares issued and outstanding as a result of purchases under the normal course issuer bid.
No directors, officers or insiders of Lassonde intend to sell their Class "A" subordinate voting shares under the proposed purchase.
Lassonde reserves the right to discontinue purchases at any time prior to January 13, 2015.
About Lassonde Industries Inc.
Lassonde Industries Inc. is a North American leader in the development, manufacture and sale of a wide range of fruit and vegetable juices and drinks marketed under brands such as Everfresh, Fairlee, Flavür, Fruité, Graves, Oasis and Rougemont.
Lassonde is also the second largest producer of store brand ready-to-drink fruit juices and drinks in the United States and a major producer of cranberry juices, drinks and sauces.
Lassonde also develops, manufactures and markets specialty food products under brands such as Antico and Canton. The Company imports and markets selected wines from various countries and manufactures apple ciders and wine-based beverages.
The Company produces superior quality products through the efforts of some 2,000 people working in 14 plants across Canada and the United States. To learn more, visit www.lassonde.com.
SEDAR registration number: 00002099
SOURCE Lassonde Industries Inc.