TORONTO - Currency Exchange International Corp. (TSX:CXI) (OTCBB:CURN) has announced a new Normal Course Issuer Bid (NCIB) to repurchase up to 322,169 of its common shares, which represents about 5% of its total issued and outstanding shares as of November 24. The share repurchase program is set to commence on December 1 and will continue until November 30, 2024, or until the maximum number of shares are repurchased.
The decision to initiate the repurchase reflects the company's belief that its shares have been undervalued in the market. The move is aimed at enhancing shareholder value, particularly during times of market volatility where the share price may not accurately reflect the company's true value. CEO Randolph Wolfgang Pinna and the board of directors fully support the strategic initiative as a means to protect shareholder interests.
Under the rules of the Toronto Stock Exchange, the company is permitted to repurchase a daily maximum of 1,343 shares, which is 25% of the average daily trading volume of 5,373 shares on the TSX observed over the last six months prior to the announcement. Additionally, the company can make one block purchase per week that does not involve insiders, with all purchases to be funded from the company's cash reserves.
Currency Exchange International specializes in foreign exchange services, catering to both business clients and consumers. The company offers Global EFTs, foreign cheque clearing through its platform CXIFX, and consumer services via OnlineFX. Its subsidiary EBC also provides foreign exchange services in Canada through EBCFX.
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