The BMTC Group, which operates furniture stores Brault et Martineau and Tanguay Furnishings, has just spent almost $ 110 million drawn even has its cash to buy back shares of two members of its board of directors.
The management has made the announcement late Friday after a stop transactions had been reported on the title of the Montreal company earlier in the day.
Both insiders who come to liquidate virtually all their actions are BMTC Gilles Crépeau and Pierre Ouimet. They carried out transactions through private companies they control. Gilles Crépeau sold a block of about four million shares at a price of $ 15.50, earning him a gross amount of over 61 million. For his part, Pierre Ouimet sold a block of about three million shares at a price of $ 15.50, allowing it to reach a gross amount of $ 46 million.
These transactions were made in a context of personal financial planning for Gilles Crépeau and Pierre Ouimet who now hold more than 10,000 shares each of BMTC.
This repurchase of shares for cancellation by BMTC has the effect of reducing by 16% at once the total number of its issued and outstanding shares. Moreover, since the number of ordinary shares purchased by BMTC exceed the total annual limit of shares that the company may repurchase by 12 March as part of its share repurchase program, BMTC not can buy more and more. BMTC is one of those companies that systematically buys back its shares for many years.
It is also not the first time that Gilles Crépeau and Pierre Ouimet sell large blocks simultaneously. There are four years, for example, they had sold shares of BMTC worth several million every few days only.
The largest shareholder BMTC is its CEO and Chairman, Yves Des Groseilliers.
Earlier this year, BMTC has eliminated its dual-class citing better corporate governance, simplification of the capital structure and greater ease in trading the shares.