Globex Mining Enterprises says Toronto Stock Exchange approved its normal course issuer bid

Globex Mining Enterprises Inc (TSE:GMX) (OTCQX:GLBXF) (FRA:G1MN) has announced that the Toronto Stock Exchange has approved its normal course issuer bid (NCIB). 

Under the NCIB, Globex said it will be entitled to repurchase for cancellation up to 1 million common shares, representing about 1.82% of Globex’s issued and outstanding shares as of June 30, over a 12-month period starting on July 12, 2021 and ending on July 11, 2022. 

The purchases by Globex will be effected through the facilities of the TSX and on other alternative trading systems in Canada, and will be made at the market price of the shares at the time of purchase. 

READ: Globex Mining Enterprises to sell Québec project to major Yamana Gold in deal worth over C$15M

Globex said it had 55,089,817 common shares issued and outstanding as of June 30, of which 48,708,726 shares constitute the “public float.” During the most recently completed six months, the average daily trading volume for Globex’s common shares on the TSX was 91,628 shares.

Consequently, Globex said it will have the right to repurchase during any one trading day a maximum of 22,907 common shares, representing 25% of the average daily trading volume. 

In addition, Globex may make, once per calendar week, a block purchase of common shares not directly or indirectly owned by insiders of the company.

The company said it intends to acquire the common shares because it believes that the repurchase of common shares at certain market prices is beneficial to Globex and its shareholders. Globex also intends to make any purchases on an opportunistic basis, taking share price and other considerations into account.

And except for exempt offers, Globex said it will make no purchases of common shares other than open market purchases during the period of the NCIB.

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Story by ProactiveInvestors