CALGARY, ALBERTA–(Marketwired – May 10, 2016) –
THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
Sylogist Ltd. (“Sylogist” or the “Company”) (TSX VENTURE:SYZ), a provider of enterprise information management solutions to public and private sector customers, is pleased to announce that its Board has declared a dividend of 6.5 cents per share on Sylogist’s Common Shares to shareholders of record on May 31, 2016, payable on June 15, 2016. All dividends paid by Sylogist to holders of Common Shares in the capital of the Company will be treated as eligible dividends pursuant to the Income Tax Act (Canada).
Jim Wilson, President & CEO of Sylogist commented “Moving forward, we can foresee that prudent capital allocation may dictate adjusting our dividend downward to allow us to invest directly in business acquisitions where the opportunity to increase our share’s intrinsic value exceeds the value of a pre-tax return of cash to shareholders. Similarly, we intend to continue acquiring our own stock when that investment presents strong relative value to our peers and other allocation alternatives for capital. These principles and prudent management discipline has driven our performance to date and will remain our focus, in all the shareholders’ interests”.
Sylogist announced today that it intends to give the TSX Venture Exchange Inc. (“TSXV“) its Notice of Intention to have a normal course issuer bid (“NCIB“) in place effective May 21, 2016. The NCIB will commence only on acceptance and approval of the TSXV. Sylogist believes that from time to time the market price of the Sylogist Common Shares may not reflect their underlying or intrinsic value and that, at such times, the purchase of Common Shares for cancellation will increase the proportionate interest of, and be advantageous to, all remaining holders of Common Shares.
As of the date hereof, there are 23,191,162 Common Shares issued and outstanding, 20,540,394 of which shares constitute the public float. Under the NCIB, Sylogist is seeking approval to purchase up to 2,054,039 Common Shares, which is 10% of the public float. Sylogist, through its broker at BMO Nesbitt Burns, will purchase the Common Shares on the open market through the facilities of the TSXV. The price which Sylogist will pay for any Common Shares purchased will be the prevailing market price of such Common Shares on the TSXV at the time of purchase. Decisions regarding purchases of Common Shares pursuant to the NCIB will be made by Sylogist. The NCIB, if approved, will terminate on the earlier of: (i) one year from inception; or (ii) when permitted purchases thereunder are completed. Sylogist may otherwise elect to terminate the NCIB at any time.
About Sylogist
Sylogist is a technology innovation company which, through strategic acquisitions, investments and operations management, provides intellectual property solutions to a wide range of public and private sector customers.
The Company’s stock is traded on the TSX Venture Exchange under the symbol SYZ. Information about Sylogist can be found at www.sylogist.com or on SEDAR at www.sedar.com.
This press release is not for distribution to United States Newswire Services or for dissemination in the United States.
Forward-looking Statements
This news release contains forward-looking information which is not comprised of historical facts. These statements typically use words such as prospects, believe, estimate, forecast, project, expect, anticipate, plan, may, should, could and would, or the negative of these terms, variations thereof or similar terminology. By their very nature, forward-looking statements are based on assumptions and involve inherent risks and uncertainties, both general and specific in nature. It is therefore possible that the forecasts, projections and other forward-looking statements will not be achieved or will prove inaccurate. Although Sylogist believes that the expectations reflected in these forward-looking statements are reasonable, it provides no assurance that these expectations will prove to have been correct. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes statements with respect to Sylogist’s key investments, its products potentially reaching broader markets, and acquisitions giving the Company greater market presence and opportunities. Material assumptions and factors that could cause actual results to differ materially from such forward-looking information includes Sylogist’s ability to integrate acquisitions and realize operating efficiencies, and its ability to attract customers and realize on its investments. Although Sylogist believes that the material assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur. Sylogist disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Jim Wilson, President and CEO, or
Brian Grassby, Vice President, Finance and CFO
(403) 266-4808
www.sylogist.com