The Securities Commission has granted Aurinia Pharmaceuticals Inc. an exemption from certain issuer bid requirements under National Instrument 62-104 Take-Over Bids and Issuer Bids (NI 62-104), allowing the company to purchase up to 15% of its outstanding common shares through the NASDAQ. This decision is based on the fact that the shares are not listed on any Canadian exchange and the impact on Canadian shareholders is limited.
The exemption is subject to conditions, including compliance with U.S. securities laws and NASDAQ rules, and the total number of shares acquired does not exceed 15% of outstanding shares within a 12-month period. The exemption is valid for 36 months from the date of the decision, and the company must disclose the terms of the exemption and conditions in a press release prior to purchasing shares.
The decision is supported by the Alberta Securities Commission as the principal regulator, and relies on the Multilateral Instrument 11-102 Passport System for application in other Canadian provinces, excluding Ontario, where the decision also applies directly. The exemption is contingent on the company’s adherence to the conditions and reporting requirements.