Mitel has authorised a share buyback programme under which the Canadian vendor may purchase up to 7,816,574 common shares representing approximately 10% of its public float.
As of February 28, 2017, Mitel had 122,036,009 issued and outstanding Common Shares, including a public float of 78,165,743 Common Shares. During the previous 12 months, Mitel has not purchased any of its Common Shares.
"Mitel is committed to delivering shareholder value," said Richard McBee, Chief Executive Officer. "This share buyback programme provides us with another lever to realise and maximise that value."
Mitel believes that having the ability to acquire Common Shares under the Normal Course Issuer Bid will present an attractive opportunity to utilise Mitel's available funds.
The Normal Course Issuer Bid is intended to permit the Company to reduce its total number of issued and outstanding Common Shares, thereby benefiting all shareholders by increasing their relative equity interests in Mitel.
The Bid will commence on March 9th 2017 and will terminate no later than March 8th 2018.
Subject to certain exceptions for block purchases, the maximum number of shares which can be purchased per day on the NASDAQ will be 25% of the average daily trading volume for the four calendar weeks preceding the date of purchase.