(TSX: AAV, NYSE: AAV)
CALGARY, March 21, 2018 /PRNewswire/ - Advantage Oil
& Gas Ltd. ("Advantage") is commencing an odd-lot share
repurchase program (the "Odd Lot Program") pursuant to which
it will offer to buy back common shares from registered and
beneficial shareholders of Advantage who own 99 or fewer common
shares ("Odd Lot Holders"). The Odd Lot Program affords Odd
Lot Holders the opportunity to sell all, but not less than all, of
their common shares or to continue to maintain their current
holdings. Advantage will purchase up to a maximum of Cdn.
$4 million of its common shares under
the Odd Lot Program (the "Maximum").
The Odd Lot Program will begin on March
27, 2018 and will expire once the Maximum is met or at the
close of business on May 8, 2018 (the
"Period"), unless otherwise extended. Advantage may extend
the Period for up to an additional six weeks and may increase the
Maximum at its sole discretion.
Under the Odd Lot Program, Advantage will pay tendering Odd Lot
Holders the following:
- Canadian Odd Lot Holders will receive a price per common share
equal to the five day volume weighted average price ("5 day
VWAP") of the common shares on the Toronto Stock Exchange for
the week (i.e., calculated on the Friday) immediately prior to the
week in which the Odd Lot Holder tenders their common shares;
and
- United States Odd Lot Holders will receive a price per common
share equal to the 5 day VWAP of the common shares on the New York
Stock Exchange for the week (i.e., calculated on the Friday)
immediately prior to the week in which the Odd Lot Holder tenders
their common shares.
Advantage believes that the Odd Lot Program will be beneficial
to Odd Lot Holders as it is a voluntary program allowing tendering
Odd Lot Holders to dispose of their common shares without incurring
prohibitive brokerage and other fees. Further, if the Odd Lot
Program is successful in significantly reducing the number of Odd
Lot Holders, Advantage believes that both Advantage and its
securityholders will benefit from the cost-savings respecting
annual mailings and other securityholder communications as a result
of a reduced number of shareholders.
The Odd Lot Program will be open to Odd Lot Holders of record as
of March 20, 2018. Information about
the Odd Lot Program and participation documents will be mailed to
those Odd Lot Holders. Advantage has retained Computershare
Investor Services Inc. ("Computershare") to manage the Odd
Lot Program. Questions regarding the Odd Lot Program should be
directed to Computershare toll free at 1-800-564-6253.
As of March 20, 2018,
approximately 0.1% of the common shares are held by Odd Lot
Holders. Any common shares purchased by Advantage under the Odd Lot
Program will be cancelled.
This press release does not constitute an offer to sell, or the
solicitation of an offer to buy, any securities in any
jurisdiction. Advantage is not making any recommendation as it
relates to holding or selling common shares, and is not making any
representation as to the price which may be realized on the sale of
common shares under the Odd Lot Program. Eligible Odd Lot Holders
may wish to obtain advice from their broker or financial advisor as
to the advisability of participating. The tax consequences for each
Odd Lot Holder in the Odd Lot Program may vary. Advantage and
Computershare make no representations with respect to the tax
consequences for a particular Odd Lot Holder. It is recommended
that each Odd Lot Holder consult their personal tax advisor as to
the consequences to them of a sale under the Odd Lot Program.
Participation in the Odd Lot Program is voluntary.
Advisory
The information in this press release contains certain
forward-looking statements, including within the meaning of the
United States Private Securities Litigation Reform Act of 1995.
These statements relate to future events or our future intentions
or performance. All statements other than statements of historical
fact may be forward-looking statements. Forward-looking statements
are often, but not always, identified by the use of words such as
"seek", "anticipate", "plan", "continue", "estimate", "guidance",
"demonstrate", "expect", "may", "can", "will", "project",
"predict", "potential", "target", "intend", "could", "might",
"should", "believe", "would" and similar expressions and include
statements relating to, among other things, Advantage's conduct of
the Odd Lot Program, Advantage's beliefs regarding the benefits of
the Odd Lot Program and the details of the Odd Lot Program.
Advantage's actual decisions, activities, results, performance or
achievement could differ materially from those expressed in, or
implied by, such forward-looking statements and accordingly, no
assurances can be given that any of the events anticipated by the
forward-looking statements will transpire or occur or, if any of
them do, what benefits that Advantage will derive from
them.
These statements involve substantial known and unknown risks
and uncertainties, certain of which are beyond Advantage's control,
including, but not limited to: changes in general economic, market
and business conditions; industry conditions; actions by
governmental or regulatory authorities including increasing taxes
and changes in investment or other regulations; risk that a
significant number of Odd Lot Holders do not tender to the Odd Lot
Program; failure of Advantage to achieve the perceived benefits of
the Odd Lot Program; and changes in tax laws. Many of these risks
and uncertainties and additional risk factors are described in the
Corporation's Annual Information Form which is available at
www.Sedar.com and www.advantageog.com. Readers are
cautioned that the foregoing lists of factors is not
exhaustive.
With respect to forward-looking statements contained in this
press release, Advantage has made assumptions regarding, but not
limited to: conditions in general economic and financial markets;
effects of regulation by governmental agencies; current and future
commodity prices and royalty regimes; future exchange rates; timing
and amount of capital expenditures; the price of crude oil and
natural gas; that the Corporation will have sufficient cash flow,
debt or equity sources or other financial resources required to
fund its capital and operating expenditures and requirements as
needed; that the Corporation's conduct and results of operations
will be consistent with its expectations; and current or, where
applicable, proposed assumed industry conditions, laws and
regulations will continue in effect or as anticipated.
These forward-looking statements are made as of the date of
this press release and Advantage disclaims any intent or obligation
to update publicly any forward-looking statements, whether as a
result of new information, future events or results or otherwise,
other than as required by applicable securities laws.
SOURCE Advantage Oil & Gas Ltd.