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Calgary, Alberta--(Newsfile Corp. - May 28, 2024) - Centaurus Energy Inc. (TSXV: CTA) (OTC Pink: CTARF) ("Centaurus" or the "Company") announces that the TSX Venture Exchange ("TSX-V") has accepted the Company's notice to implement a normal course issuer bid ("NCIB") to purchase, for cancellation, up to 108,545 of its common shares, representing 10% of Centaurus' Public Float (calculated in accordance with the rules of the TSX-V), over a twelve month period commencing on May 30, 2024. The NCIB will expire no later than May 30, 2025.
During the preceding twelve months, the Company has purchased 7,700 of its common shares.
All purchases made pursuant to the NCIB will be made through the facilities of the TSX Venture Exchange or alternative Canadian trading systems, in open market transactions. The price that Centaurus will pay for common shares in open market transactions will be the market price at the time of purchase.
Any daily purchases on the TSX Venture Exchange under the NCIB will be subject to all limitations as set forth in the TSX Venture Exchange rules. As of May 19, 2023, the Company has 1,085,456 common shares issued and outstanding. All shares purchased by Centaurus under the NCIB will be cancelled.
Centaurus is continuing the NCIB because it believes the market price of its common shares does not fully reflect the underlying value of the Company's assets and prospects. Centaurus believes that the purchase of common shares from time to time can be undertaken at prices that make the acquisition of such shares an appropriate use of available funds. Furthermore, there is a potential that the market price may not reflect the underlying value of the Corporation given the lack of liquidity in the Common Shares. The NCIB will allow the Company to stabilize the trading price of the Common Shares and at such times, represents an appropriate use of the Company's financial resources and would be in the best interests of shareholders.
To the knowledge of Centaurus, no director or senior officer of Centaurus currently intends to sell any common shares under this bid. However, sales by such persons through the facilities of TSX may occur if the personal circumstances of any such person change or any such person makes a decision unrelated to these normal course purchases. The benefits to any such person whose shares are purchased would be the same as the benefits available to all other holders whose shares are purchased.
The Company has appointed Canaccord Genuity to conduct the NCIB on its behalf.