Reitmans (Canada) Limited Announces Preliminary Results Of Substantial Issuer Bid

MONTRÉAL, July 29, 2019 /CNW Telbec/ - Reitmans (Canada) Limited (TSX: RET) (TSX: RET-A) ("Reitmans" or the "Company") announced today the preliminary results of its substantial issuer bid (the "Offer") to purchase up to 15 million of its outstanding Class A non-voting shares (the "Shares") at a purchase price of $3.00 per Share (the "Purchase Price") from holders of such Shares ("Shareholders") in Canada. The Offer expired at 5:00 p.m. (Montréal time) on July 26, 2019.

In accordance with the terms and conditions of the Offer and based on a preliminary count by Computershare Trust Company of Canada (the "Depositary"), the Company expects to take up and pay for 14,462,944 Shares at the Purchase Price, for aggregate consideration of $43,388,832. The Shares expected to be purchased under the Offer represent approximately 29.0% of the Shares issued and outstanding as at the time that the Offer was announced. After giving effect to the purchase of Shares pursuant to the Offer, the Company expects that 35,427,322 Shares will be issued and outstanding.

The number of Shares to be purchased under the Offer is preliminary, subject to verification by the Depositary. The Company will announce the final results on the day that the Shares are taken up in the event that the final results differ materially from the preliminary results. Take up and payment for all Shares will be made as soon as practicable in accordance with the Offer. Any Share deposited but not purchased, including any Share invalidly deposited, will be returned promptly by the Depositary to the depositing Shareholder.

The full details of the Offer are described in the Company's offer to purchase and issuer bid circular dated June 20, 2019, as well as the related letter of transmittal and notice of guaranteed delivery (collectively, the "Offer Documents"), copies of which are available on SEDAR under the Company's profile at www.sedar.com.

This press release is for information purposes only and is not an offer to buy or a solicitation of an offer to sell any Shares.

About Reitmans (Canada) Limited

The Company is a leading ladieswear specialty apparel retailer with retail outlets throughout Canada. The Company operates 594 stores consisting of 259 Reitmans, 115 Penningtons, 80 Addition Elle, 82 RW & CO. and 58 Thyme Maternity.

Forward-Looking Statements

All of the statements contained herein, other than statements of fact that are independently verifiable at the date hereof, are forward-looking statements. Such statements, based as they are on the current expectations of management, inherently involve numerous risks and uncertainties, known and unknown, many of which are beyond the Company's control. Consequently, actual future results may differ materially from the anticipated results expressed in forward-looking statements, which reflect the Company's expectations only as of the date of this press release. Forward-looking statements are typically identified by words such as "expect", "anticipate", "believe", "foresee", "could", "estimate", "goal", "intend", "plan", "seek", "strive", "will", "may" and "should" and similar expressions, as they relate to the Company and its management. Forward looking statements are based upon the Company's current estimates, beliefs and assumptions, which are based on management's perception of historical trends, current conditions and currently expected future developments, as well as other factors it believes are appropriate in the circumstances. Specific forward-looking statements in this press release include, but are not limited to, statements with respect to the expected number of Shares to be taken up and paid for, the Company's anticipated number of Shares issued and outstanding and the anticipated benefits of the Offer on the Company's operating results on a per Share basis and on its financial resources and working capital.

Numerous risks and uncertainties could cause the Company's actual results to differ materially from those expressed, implied or projected in the forward-looking statements. Please refer to the "Forward-Looking Statements" section of the Company's Management Discussion & Analysis for the first quarter of 2020.

Other risks and uncertainties not presently known to the Company or that the Company presently believes are not material could also cause actual results or events to differ materially from those expressed in its forward-looking statements. Additional risks and uncertainties are discussed in the Offer Documents and the Company's materials filed with the Canadian securities regulatory authorities from time to time. The reader should not place undue reliance on any forward-looking statements included herein. These statements speak only as of the date made and the Company is under no obligation and disavows any intention to update or revise such statements as a result of any event, circumstances or otherwise, except to the extent required under applicable securities law.

Montreal, July 29, 2019

Jeremy H. Reitman
Chairman and Chief Executive Officer
Telephone: (514) 385-2630
Corporate Website: www.reitmanscanadalimited.com

SOURCE Reitmans (Canada) Limited