Clarke resumes issuer bid for C$6.32 million 6% convertibles due 2013

By Susanna Moon

Chicago, April 3 - Clarke Inc. plans to repurchase up to C$6,317,000 principal amount of its C$63,172,500 6% convertible subordinated debentures due Dec. 31, 2013 under a one-year normal-course issuer bid.

The amount represents about 10% of the public float amount as of March 31. As of April 2, there was C$63,415,500 principal amount of the notes issued and outstanding, according to a press release.

The issuer bid will run from April 5 through April 4, 2013.

Clarke said it may purchase daily up to 25% of the average daily trading volume, which is C$13,508 principal amount, subject to a weekly block purchase exemption. The average daily trading volume of the convertibles was C$54,032 principal amount from Oct. 1 to March 31, the release noted.

Any notes purchased under the offer will be canceled.

In connection with the program, the company said it established an automatic securities purchase plan for the convertibles. The plan was established to provide standard instructions on how the notes are to be repurchased under the issuer bid and will run during the course of the bid.

As of April 2, the company said it had acquired C$6,903,000 principal amount of the notes in the open market under the normal-course issuer bid that expires on April 13. The weighted average price paid is C$950 per C$1,000 principal amount.

Halifax, N.S.-based Clarke is a diversified group with businesses in freight transportation, shipping, real estate and information technology.

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