Melcor Developments Ltd. Announces Normal Course Issuer Bid

Core Viewpoint - Melcor Developments Ltd. has announced its intention to initiate a normal course issuer bid (NCIB) to repurchase up to 1,511,087 common shares, representing approximately 5% of its issued and outstanding shares, over a twelve-month period starting June 10, 2025 [1][2]. Group 1: Normal Course Issuer Bid Details - The NCIB will allow Melcor to purchase common shares for cancellation at the market price at the time of acquisition, subject to TSX guidelines [3]. - The previous NCIB resulted in the purchase of 344,248 common shares at a weighted average price of $12.5877, with a total of 1,525,527 shares approved for repurchase [4]. - As of May 31, 2025, Melcor had 30,221,745 common shares outstanding and an average daily trading volume of 5,867 shares [4]. Group 2: Rationale for Share Repurchase - Melcor believes that its common shares sometimes trade at a price that does not reflect their true value relative to the company's business and future prospects, making the shares an attractive investment for the company [5]. - The repurchase of shares is expected to benefit existing shareholders by increasing their equity interest in Melcor [5]. Group 3: Automatic Share Purchase Plan - Melcor has entered into an automatic share purchase plan (ASPP) with a broker to facilitate share purchases during periods when the company would typically not be active in the market due to regulatory restrictions [6]. - The broker will make purchases under the NCIB based on parameters set by Melcor prior to any restricted or blackout periods, ensuring compliance with TSX rules and applicable securities laws [6]. Group 4: Company Overview - Melcor Developments Ltd. is a diversified real estate development and asset management company, involved in transforming raw land into high-quality residential and commercial properties [7]. - The company has been active in real estate since 1923, having developed over 140 communities and currently managing 4.48 million square feet of commercial real estate and 447 residential rental units [8]. - Melcor operates in multiple regions, including Alberta, Saskatchewan, British Columbia, Arizona, and Colorado, and has been publicly traded since 1968 on the Toronto Stock Exchange [9].