CALGARY, July 2, 2015 /CNW/ – Raimount Energy Inc. (“Raimount” or the “Corporation”), TSXV: RMT announces that, the TSX Venture Exchange (“TSXV”) has approved, the Corporation’s intention to purchase certain of its Common Shares by way of a normal course issuer bid (the “NCIB”) through the facilities of the TSXV. Raimount may purchase up to a maximum of 218,666 Common Shares, which represents 5% of the Corporation’s current issued and outstanding Common Shares. Raimount will commence open market purchases of its shares immediately upon the approval of the NCIB by the TSXV on July 2, 2015 and terminate any such purchases on or before July 1, 2016. The Corporation may purchase up to, but not more than 2%, of its issued and outstanding Common Shares in any 30 day period during the term of the NCIB. As of the date of this news release, the Corporation has 4,373,333 Common Shares issued and outstanding. Richardson GMP Limited of Calgary, Alberta has been appointed by Raimount as its broker to facilitate the open market purchases of its shares pursuant to the NCIB. All purchases of shares under the NCIB will be undertaken through the facilities of the TSXV at the prevailing current market price of the shares of the Corporation as traded on the TSXV.
Under the terms of its prior NCIB which expired on June 29, 2015, Raimount purchased a total of 25,600 common shares at an average price of $2.42 per share. Raimount is of the view that the current market price of the Corporation’s Common Shares remain undervalued. Accordingly, Raimount believes that the repurchase of the shares represents a sound business decision for the Corporation. All Common Shares purchased under the NCIB will be returned to treasury and cancelled. Shareholders of Raimount will be advised of the NCIB in the next quarterly report of the Corporation to be mailed to Shareholders and filed on SEDAR. Shareholders may obtain a copy of the Notice of Intention to Make a Normal Course Issuer Bid from Raimount without charge.
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SOURCE Raimount Energy Inc.