CIBT EDUCATION GROUP (NYSE:MBA)

VANCOUVER, British Columbia--(BUSINESS WIRE)--CIBT Education Group Inc. (NYSE AMEX: MBA) (TSX: MBA) (“CIBT”) reports that the normal course issuer bid (“NCIB”) announced in its news release dated February 15, 2012 has been amended with the approval of the Toronto Stock Exchange. The maximum number of common shares that CIBT intends to purchase under the NCIB has been increased to 3,000,000, representing approximately 4.2% of the 71,571,844 common shares which were outstanding as at the commencement of the NCIB, subject to a maximum aggregate acquisition cost of $1,000,000. In addition, the maximum number of common shares that CIBT may purchase per day has been increased to 4,566 common shares, representing 25% of the average daily trading volume of 18,264 common shares during the six months ending on April 30, 2012. This limitation does not apply to “block trade purchases”, which are purchases of (1) shares having a purchase price of at least $200,000, (2) at least 5,000 shares having a purchase price of at least $50,000, or (3) at least 27,396 shares.

As at April 30, 2012, 446,500 common shares have been purchased under the NCIB. The NCIB expires on February 20, 2013.

Red Flag from August 2010 20F:

However, we estimate that we will need significant additional financing of approximately $10.5 million to carry out our proposed expansion plans for fiscal 2011, as described above. We plan to obtain the necessary funds from equity or debt financings, as required. However, there can be no assurance that we will obtain the financing required, or any at all. If we are not able to obtain the necessary additional financing, we may be forced to scale back our expansion plans or eliminate them altogether.

Our operations have been financed through internal cash flows, debenture financing, and equity financing in the form of private placements, warrant exercises, and option exercises.

However, we estimate that we will need significant additional financing of approximately $10.5 million to carry out our proposed expansion plans for fiscal 2011, as described above. We plan to obtain the necessary funds from equity or debt financings, as required. However, there can be no assurance that we will obtain the financing required, or any at all. If we are not able to obtain the necessary additional financing, we may be forced to scale back our expansion plans or eliminate them altogether.