(Montreal) The computer services company CGI announced Monday that it has reached a private agreement that will see it buy back nearly 939,000 of its shares from the Caisse de depot et placement du Québec, for a total amount of approximately 100 million.
Posted at 3:54 p.m.
The Montreal firm will repurchase a total of 938,914 of its Class A subordinate voting shares at a price of $106.51 per share, representing a discount of $3.29 per share from the closing price of 109 $.80 from Friday on the Toronto Stock Exchange.
Upon completion of the transaction, the Caisse de depot et placement du Québec will still hold approximately 22.5 million Class A shares, which will give it a 9.5% stake in CGI.
The first vice-president and head for Quebec of the Caisse, Kim Thomassin, underlined in a press release that the operation allowed the institutional investor to monetize part of the investment for the benefit of its depositors. The CDPQ will remain a major shareholder of CGI, she continued, and intends to remain so to support its long-term growth.
The share buyback will be carried out under CGI’s normal course share buyback program, the renewal of which was announced in early February. This program authorizes CGI to repurchase a maximum of 18,781,981 Class A shares by February 5, 2023.