May 27 2010
Cangene Corporation (the "Corporation") announces today that a normal course issuer bid (the "Bid") has been accepted by The Toronto Stock Exchange.
The Corporation intends to purchase for cancellation, during the course of the Bid, up to but not more than 1,500,000 common shares of the Corporation ("Common Shares") representing 2.2% of the outstanding Common Shares on May 25, 2010. As of May 25, 2010, the total number of issued and outstanding Common Shares was 68,246,870 Common Shares. The average daily trading volume for the six months preceding May 25, 2010 was 46,929 Common Shares. Except for block purchases, the daily repurchase restriction during the course of the Bid is 11,732 Common Shares, being 25% of the average daily trading volume.
The Bid will commence on June 1, 2010 and will expire on May 31, 2011. Purchases will be made through the facilities of The Toronto Stock Exchange at prevailing market prices. Any Common Shares purchased by the Corporation under the Bid will be cancelled. During the past 12 months, the Corporation has purchased 1,219,400 Common Shares at an average-weighted price per share of $5.30 pursuant to its previous normal course issuer bid.
The Corporation believes that purchases under the Bid constitute a desirable use of its funds on the basis that recent market prices of the Common Shares of the Corporation do not, and at certain times during the course of the Bid may not, fully reflect the value of its business and future business prospects.