Global Education Communities Corp. Reports Normal Course Issuer Bid
Vancouver, B.C., March 17, 2023 – Global Education Communities Corp. (TSX:GEC, OTCQX International: GECSF) (“GEC Corp.”) reports that it has received approval from the Toronto Stock Exchange (the “TSX”) to commence a normal course issuer bid (“NCIB”) to purchase up to 3,374,877 of its common shares, representing approximately 5% of the 67,497,540 common shares which were issued and outstanding as at the close of business on March 10, 2023 (net of shares purchased under the previous NCIB but not yet cancelled), to a maximum aggregate acquisition cost of approximately $2,000,000. The NCIB is being implemented because management believes that purchases under the NCIB constitute a desirable use of its funds on the basis that recent market prices of the common shares do not, and at certain times during the course of the NCIB may not, fully reflect the value of GEC Corp.’s business and future business prospects.
GEC Corp. may buy back common shares anytime during the 12-month period beginning on March 22, 2023 and ending on March 21, 2024, or on such earlier date as the Company may complete its purchases pursuant to the NCIB or provides notice of termination. Share purchases under the NCIB will be conducted through the facilities of the TSX and other Canadian marketplaces/alternative trading systems. The actual number of shares purchased, and the timing of any such purchases, will be determined by GEC Corp. in accordance with the rules of the TSX. Any shares purchased under the NCIB will be cancelled.
Subject to prescribed exceptions, GEC Corp. may purchase up to 1,259 common shares per day, representing 25% of the average daily trading volume of 5,036 common shares during the six months ending on February 28, 2023. The exceptions to this limitation include block trade purchases of (1) shares having a purchase price of at least $200,000, (2) at least 5,000 common shares having a purchase price of at least $50,000, or (3) at least 20 board lots of common shares and a total of at least 7,554 common shares.
The Company was authorized to purchase up to 3,423,000, common shares under its last normal course issuer bid. During the last 12 months, GEC Corp. has purchased 963,200 of its common shares through a normal course issuer bid at a weighted average price per share of $0.5819. These purchases were effected through the facilities of the TSX and other Canadian marketplaces/alternative market places.
About Global Education Communities Corp.:
Global Education Communities Corp. is one of Canada’s largest education and student housing investment companies focused on the domestic and global education market since 1994. GEC Corp. owns business and language colleges, student-centric rental apartments, recruitment centres and corporate offices at 41 locations in Canada and abroad. Its education subsidiaries include Sprott Shaw College Corp. (“SSCC”) (established in 1903), Sprott Shaw Language College (“SSLC”), Vancouver International College Career Campus (“VIC”) and CIBT School of Business & Technology Corp. (“CIBT China”). GEC Corp. offers over 150 educational programs in healthcare, business management, e-commerce, cyber-security, hotel management, and language training through these schools. In 2022, GEC Corp. serviced over 10,000 domestic and international students through its educational and rental housing subsidiaries.
GEC Corp. owns Global Education City Holdings Inc. (“GECH”), an investment holding and development company focused on education-related real estate such as student-centric rental apartments, a hotel and education super-centres. Under the GEC® brand, GECH provides accommodation services to 90 schools in Metro Vancouver, serving 3,000 students from 71 countries. The total portfolio and development budget under the GEC® brand is nearly $1.3 billion.
GEC Corp. also owns Global Education Alliance Inc. (“GEA”) and Irix Design Group Inc. (“IRIX”). GEA recruits international students for elite kindergartens, primary and secondary schools, colleges and universities in North America. Irix Design is a leading design and advertising company based in Vancouver, Canada. Visit us online and watch our corporate video at www.GECHQ.com.
For more information, contact:
Chairman, President & CEO
Global Education Communities Corp.
Investor Relations Contact: 1-604-871-9909 extension 319 or | Email: info@GECHQ.com
Some statements in this news release contain forward-looking information (the “forward-looking statements“) about Global Education Communities Corp. and its plans. Forward-looking statements are statements that are not historical facts. Forward-looking statements in this news release include, without limitation, that the interest rate trend will plateau in 2023, allowing the economy to begin recovery from the setbacks caused by the pandemic; the student housing business is expected to continue to grow due to a shortage of available rental units; and the Company intends to acquire a permit-ready property for its recently formed GEC® Langara Limited Partnership. The forward-looking statements are subject to various risks, uncertainties and other factors (collectively, the “Risks”) that could cause GEC Corp.’s actual results or achievements to differ materially from those expressed in or implied by forward-looking statements. The Risks include, without limitation, national and global economic factors, the completion of the acquisition of the property for GEC® Langara Limited Partnership, customary risks of the construction industry, unexpected delays or requirements of the applicable municipalities, and the other risk factors identified in the MD&A forming part of the Q1 Filing. Forward-looking statements are based on the beliefs, opinions and expectations of GEC Corp.’s management at the time they are made, and GEC Corp. does not assume any obligation to update its forward-looking statements if those beliefs, opinions or expectations, or other circumstances should change, except as may be required by law.