Jan 21 2010
Unilens Vision Inc. (OTC Bulletin Board: UVICF; TSX Venture Exchange: UVI) today announced the Company completed the Stock Purchase Agreement announced on November 9, 2009, in which it repurchased 2,188,861 shares of its common stock, representing approximately 48% of it's outstanding shares, from its largest shareholder, Uniinvest Holding AG in Liquidation (Uniinvest) for an aggregate purchase price of US $6,894,912 or $3.15 per share.
The Company funded the transaction primarily through a draw of US $6.0 million against the $6.9 million 5-year term loan facility provided to the Company's wholly owned subsidiary Unilens Corp., USA, by Regions Bank. The loan facility was arranged by the Company's Investment Bankers, Hyde Park Capital Partners, LLC. The loan facility bears a floating interest rate of 30-day LIBOR plus 3.75% with a floor of 4.75%, and is secured by certain assets of the Company. The purchase price represents a discount of 25% to the closing price of our common stock in the US of $4.22 on Tuesday January 19, 2010.
Unilens has received and accepted the resignation of Ms. Elizabeth J. Harrison as a Director of the Company as of January 19, 2010. Ms. Harrison served as the Uniinvest representative on our Board of Directors since 2006. The Board of Directors and Management wish to thank Ms. Harrison for her service to the Company.
"We believe that the stock repurchase represents a very attractive use of our capital and reflects our commitment to building long-term shareholder value," stated Michael Pecora, Chief Executive Officer of Unilens Vision Inc. "The transaction is highly accretive to earnings per share and eliminates any possible negative impact on our share value associated with the 48% stock overhang," concluded Mr. Pecora.
SOURCE Unilens Vision Inc.