The Toronto Stock Exchange (TSX) has accepted Gamehost’s “Notice of Intention to Make a Normal Course Issuer Bid,” which gives the company access to purchase and cancelation options for its common shares.
Gamehost is a Canadian corporation based in Alberta. Its operations include the Rivers Casino & Entertainment Centre, which was previously known as Boomtown Casino, as well as the Great Northern Casino, Service Plus Inns & Suites and Encore Suites hotels.
In addition to its Grande Prairie operations, the corporation owns 91% interest in Deerfoot Inn & Casino in Calgary.
Gamehost has issued more than 22 million shares since July 11, with half of those constituting a “public float.” The number of “public float” shares was calculated in accordance with TSX rules and regulations. Gamehost stated the company intends to purchase up to 10% of its public float shares for cancelation.
Under TSX guidelines, Gamehost cannot purchase more than 3,643 per day, which is equivalent to 25% of its average daily trading volume. The limit was calculated based on a six-month trading volume period that ended June 30.
The bid will begin July 21, 2022 and end July 20, 2023. The company reserves the right to terminate the bid earlier than the scheduled deadline. Share purchases will be made through the TSX and other Canadian trading companies on an open market.
According to Gamehost’s management, the company claims that “from time to time, the market price of the shares may not fully reflect their underlying value and that at such times the purchase of Shares would be in the best interest of Gamehost.”
The corporation said in a statement: “At times when the market price does not fully reflect the value of the shares, such purchases would increase the proportionate interest of, and be advantageous to, all remaining shareholders.”
