CALGARY – WestJet Airlines Ltd. announced today that the Toronto Stock Exchange (TSX) has accepted its notice to make a normal course issuer bid to purchase outstanding common voting and variable voting shares on the open market in accordance with the rules of the TSX.
As approved by the TSX, WestJet is now authorized to purchase up to 2,000,000 shares under the normal course issuer bid, representing 1.6 per cent of WestJet’s currently issued and outstanding shares. As of April 30, 2014, there are 108,551,859 common voting shares and 19,170,119 variable voting shares issued and outstanding. On any trading day, WestJet will not purchase more than 25 percent of the average daily trading volume of the shares for the past six months calculated in accordance with the rules of the TSX, being 96,062 shares, except where such purchases are made in accordance with the block purchase exemptions under the TSX rules.
WestJet is authorized to make purchases during the period of May 8, 2014 to May 7, 2015 or until such earlier time as the bid is completed or terminated at the option of WestJet. Any shares WestJet purchases under this bid will be purchased on the open market through the facilities of the TSX at the prevailing market price at the time of such transaction. Shares acquired under the bid will be cancelled. TD Securities Inc. will be appointed as the broker firm responsible for making purchases of shares under the bid on behalf of WestJet.
During the period between February 19, 2013 and February 18, 2014, WestJet completed the purchase and cancellation of 5,672,550 shares under its previous normal course issuer bid at a volume weighted average price of US$24.17 per share.
WestJet believes that, from time to time, the market price of its shares may not reflect their underlying value. At such times, the purchase of shares for cancellation may be advantageous to shareholders by increasing the value of the remaining shares. The purchase of shares will also offset the dilutive effect of the issuance of shares pursuant to WestJet’s compensation plans.
From time to time, when WestJet does not possess material non-public information about itself or its securities, it may enter into an automatic securities purchase plan with its broker to allow for the purchase of shares at times when WestJet ordinarily would not be active in the market due to its own internal trading blackout periods and insider trading rules. Any such plans entered into with WestJet’s broker will be adopted in accordance with the requirements of applicable Canadian securities laws and subject to prior approval by the TSX.
Westjet is known as Canada’s most-preferred airline, powered by an award-winning culture of care and recognized as one of the country’s top employers.
Westjet offer scheduled service to more than 85 destinations in North America, Central America, the Caribbean and Europe. Through its regional airline, WestJet Encore, and with partnerships with airlines representing every major region of the world, Westjet offer our guests more than 120 destinations in more than 20 countries.