Inter-Rock may purchase common shares under the NCIB over the next twelve month period beginning on or about February 18, 2020. The NCIB will terminate upon the earliest of (i) the Company purchasing 1,130,891 common shares, (ii) the Company providing notice of termination of the NCIB and (iii) the date that is 12 months following the commencement of the NCIB.
Inter-Rock has engaged Canaccord Genuity to act as broker for the NCIB. Any purchases under the NCIB will be conducted on the open market through the facilities of the TSXV or alternative Canadian trading systems at market prices or by such other means as may be permitted under applicable securities laws. Any daily purchases on the TSXV under the NCIB will be subject to all limitations as set forth in the TSXV's rules. All common shares purchased by Inter-Rock will be cancelled. The purchase and payment for the common shares will be made in accordance with the requirements of the TSXV and applicable securities laws. The actual number of common shares which may be purchased pursuant to the NCIB will be determined by the board of the Company in its discretion and the funding for any purchase pursuant to the NCIB will be from the working capital of the Company.
The NCIB is being undertaken as the Company believes the share price of its common shares, from time to time, is not reflective of the underlying value of the Company and its future prospects. The Company believes the purchase of common shares is an appropriate use of its financial resources and is advantageous to shareholders when common shares are purchased at a price below their underlying value and cancelled, as this increases the proportionate share of ownership of the Company for the remaining shareholders. The NCIB will also afford an increased degree of liquidity to those shareholders of Inter-Rock who wish to dispose of their common shares.