The Toronto Stock Exchange (TSX) has accepted Amerigo Resources Ltd’s (TSX: ARG; ARREF: OTC) application for a normal course issuer bid (NCIB).
Under the NCIB Amerigo may purchase up to 10,750,000 common shares (representing 6.14% of its 174,936,288 common shares outstanding as at November 29, 2021) over a period of 12 months commencing on December 2, 2021. The NCIB will terminate no later than December 1, 2022.
“Amerigo’s Board of Directors believes that the purchase of common shares of the Company continues to represent a highly accretive use of capital,” said Aurora Davidson, Amerigo’s President and CEO.
“We are pleased to have this normal course issuer bid now in place, having recently completed a substantial issuer bid where Amerigo retired more than 7.1 million common shares.”
Under the NCIB, common shares may be purchased in open market transactions on the TSX at the prevailing market price at the time of such transaction.
Pursuant to the rules of the TSX, the total number of common shares that Amerigo is permitted to purchase is subject to a daily purchase limit of 86,625 common shares, which represents 25% of the average daily trading volume of 346,502 common shares on the TSX for the six-month period ended October 31, 2021. However, Amerigo may make one block purchase per calendar week which exceeds the daily purchase restriction.
All common shares purchased under the NCIB will be cancelled.
Pursuant to the recently completed substantial issuer bid, Amerigo acquired 7,116,345 common shares at a price of C$1.30 per share. The company originally sought to purchase common shares having an aggregate purchase price of C$25 million by way of a modified Dutch auction for prices ranging between C$1.18 and C$1.30 per share.
About Amerigo
Amerigo Resources Ltd. is an innovative copper producer with a long-term relationship with Corporación Nacional del Cobre de Chile, the world’s largest copper producer.
Amerigo produces copper concentrate and molybdenum concentrate as a by-product at the Minera Valle Central (MVC) operation in Chile by processing fresh and historic tailings from Codelco’s El Teniente mine, the world’s largest underground copper mine.
For further information please visit: http://www.amerigoresources.com/
