Crescita Therapeutics Announces Renewal of Normal Course Issuer Bid

Rhea-AI Summary

Crescita Therapeutics Inc. announced the Toronto Stock Exchange's approval for the renewal of its normal course issuer bid (NCIB) to repurchase up to 1,000,000 common shares, approximately 5.3% of its public float, over the next 12 months. The company aims to start purchases on December 17, 2021, and the NCIB will conclude on December 16, 2022. Purchases will adhere to trading regulations, with a daily maximum of 3,770 shares. The prior NCIB, active from November 30, 2020, to November 29, 2021, resulted in the acquisition of 135,824 shares at an average price of $0.68.

Positive

• Renewal of NCIB allows for the repurchase of 1,000,000 shares, potentially enhancing shareholder value.
• Previous NCIB demonstrated effective capital management with significant shares repurchased.

Negative

• None.

LAVAL, Québec--(BUSINESS WIRE)-- Crescita Therapeutics Inc. (TSX: CTX) (OTC US: CRRTF) (“Crescita” or the “Company”) announced today that the Toronto Stock Exchange (the “TSX”) has approved the Company’s renewal of its existing normal course issuer bid (“NCIB”) for a portion of its common shares (“Common Shares”) as appropriate opportunities arise from time to time.

Pursuant to the NCIB notice filed with the TSX, the Company intends to acquire up to a maximum of 1,000,000 Common Shares, or approximately 5.3% of its public float as of December 14, 2021 for cancellation over the next 12 months. As of December 14, 2021, the Company had 20,982,752 issued and outstanding Common Shares.

Purchases under the NCIB will be made through the facilities of the TSX or through a Canadian alternative trading system and in accordance with applicable regulatory requirements at a price per Common Share representative of the market price at the time of acquisition. The number of Common Shares that can be purchased pursuant to the NCIB is subject to a current daily maximum of 3,770 Common Shares (which is equal to 25% of 15,081 being the average daily trading volume from June 1, 2021 through to November 30, 2021), subject to the Company’s ability to make one block purchase of Common Shares per calendar week that exceeds such limits. All Common Shares purchased under the NCIB will be cancelled upon their purchase. The Company intends to fund the purchases out of its available resources.

The Company may begin to purchase Common Shares on December 17, 2021 and the NCIB will terminate on December 16, 2022 or such earlier time as the Company completes its purchases pursuant to the NCIB or provides notice of termination.

The Company has also renewed its automatic securities purchase plan in connection with its NCIB that contains strict parameters regarding how its Common Shares may be repurchased during times when it would ordinarily not be permitted to purchase Common Shares due to regulatory restrictions or self-imposed blackout periods. The automatic securities purchase plan is effective immediately.

Pursuant to the Company’s previous normal course issuer bid that commenced on November 30, 2020 and ended on November 29, 2021, 135,824 Common Shares at a weighted average price of $0.68 per share were purchased. Purchases were made on behalf of the Company by its broker through the facilities of the TSX. Crescita was permitted to acquire up to 1,000,000 Common Shares under its previous normal course issuer bid.

About Crescita Therapeutics Inc.

Crescita (TSX: CTX and OTC US: CRRTF) is a growth-oriented, innovation-driven Canadian commercial dermatology company with in-house R&D and manufacturing capabilities. The Company offers a portfolio of high-quality, science-based non-prescription skincare products and early to commercial stage prescription products. We also own multiple proprietary transdermal delivery platforms that support the development of patented formulations to facilitate the delivery of active ingredients into or through the skin.

Forward Looking Statements

Certain statements contained in this news release constitute forward-looking information within the meaning of applicable securities laws. In some cases, forward-looking information can be identified by such terms such as “may”, “might”, “will”, “could”, “should”, “would”, “occur”, “expect”, “plan”, “anticipate”, “believe”, “intend”, “estimate”, “predict”, “potential”, “continue”, “likely”, “schedule”, or the negative thereof or other similar expressions concerning matters that are not historical facts. Some of the specific forward-looking statements in this news release include, but are not limited to, statements with respect to the number of Common Shares to be acquired under the NCIB and other related matters. The Company has based these forward-looking statements on factors and assumptions about future events and financial trends that it

believes may affect its financial condition, financial performance, business strategy and financial needs. Although the forward-looking statements contained in this news release are based upon assumptions that management of the Company believe are reasonable based on information currently available to management, there can be no assurance that actual results will be consistent with these forward-looking statements. Forward-looking statements necessarily involve known and unknown risks and uncertainties, many of which are beyond the Company’s control, including, among other things, the risks identified in materials filed under the Company’s profile at www.sedar.com from time to time. The forward-looking statements made in this news release relate only to events or information as of the date hereof. Except as required by applicable Canadian law, the Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211215005516/en/

Crescita Therapeutics

Investor Relations

Linda Kisa, CPA, CA

Email: lkisa@crescitatx.com

Source: Crescita Therapeutics

FAQ

What is the purpose of Crescita's normal course issuer bid (NCIB) approved on December 15, 2021?

The NCIB aims to repurchase up to 1,000,000 common shares to enhance shareholder value.

When does Crescita Therapeutics plan to start its share repurchases under the renewed NCIB?

Crescita plans to begin share repurchases on December 17, 2021.

What was the average price per share during Crescita's previous NCIB?

During the previous NCIB, Crescita repurchased shares at a weighted average price of $0.68.

How many shares does Crescita plan to repurchase under the renewed NCIB?

Crescita plans to repurchase up to 1,000,000 common shares under the renewed NCIB.