VANCOUVER, BRITISH COLUMBIA — November 7, 2023 – Tree Island Steel Ltd. (the “Company” or “Tree Island Steel“) (TSX:TSL) announced today that it has received approval from the Toronto Stock Exchange (the “TSX“) to renew its proposed normal course issuer bid to purchase up to 1,360,000 common shares, representing approximately 5% of Tree Island’s issued and outstanding common shares. Purchases under the normal course issuer bid will be made through the facilities of the TSX or any Canadian alternative trading system. The period of the normal course issuer bid will extend from November 9, 2023 to November 8, 2024, or an earlier date should Tree Island Steel complete its purchases. All common shares purchased under the bid will be cancelled. The actual number of common shares purchased, the time of purchases and the price at which the common shares will be acquired will depend on future market conditions.
As of October 31, 2023, 27,336,552 common shares of Tree Island Steel were issued and outstanding, of which 10,760,656 represented the public float. Under the rules of the TSX and subject to certain exemptions for block purchases, the maximum number of common shares that Tree Island Steel may purchase on any one trading day is 2,816 common shares, representing 25% of the average daily trading volume of 11,267 common shares for the previous six months.
Tree Island Steel previously acquired 975,930 common shares pursuant to the normal course issuer bid (the “2022 NCIB“) that commenced on November 9, 2022 at a weighted average price of $3.2038 per common share. All purchases under the 2022 NCIB were completed through the facilities of the TSX and alternative trading systems in Canada. Under the 2022 NCIB, the TSX had approved Tree Island Steel to purchase up to 1,410,000 common shares.
Tree Island Steel’s board of directors has elected to renew the normal course issuer bid as it has determined that at the current market price the repurchase of its common shares is a desirable use of funds for Tree Island Steel and is in the best interests of Tree Island Steel and its shareholders.