Kvika banki hf.: Notification regarding execution of buy-back programme

·2 min read
Kvika banki hf.
Kvika banki hf.

At the Annual General Meeting of Kvika banki hf. (“Kvika” or the “bank”) on 31 March 2022, the shareholders approved to authorise the board of directors to buy up to 10% of issued shares in the bank, which is equivalent to up to 481,730,531 shares based on the total share capital of that day, to among other things enable the board of directors to carry out a formal buy-back programme.

On the basis of that approval, the board of directors of Kvika decided on 17 May 2022 to exercise a part of that authorisation and establish a buy-back programme to carry out the purchase of shares for total consideration amount of ISK 3,000,000,000 but for no higher nominal amount than 481,730,531 shares, for the purpose of reducing Kvika's issued share capital. Kvika does not currently own any own shares.

Acro verðbréf hf. („Acro Securities“) will be supervising the execution of the buy-back programme and making all decisions regarding the acquisition of shares and the timing of the acquisitions independently of Kvika. The execution of the buy-back programme must comply with Act on Public Limited Companies, No. 2/1995. In addition, the buy-back programme must be implemented as provided for in the Regulation of the European Parliament and of the Council no. 596/2014, on market abuse, as well as the Commission Delegated Regulation (EU) 2016/1052 on regulatory technical standards for the conditions applicable to buy-back programmes and stabilisation measures, which supplements that Regulation. When deciding on and executing a buy-back programme, the above-mentioned provisions will be complied with as currently applicable, and the implementation of such a programme shall ensure transparency in such transactions with own shares.

The execution of the buy-back programme is conducted in such a way that purchases each day do not exceed a maximum of 25% of the daily average turnover of the previous 20 business days, however never more than 2,000,000 shares, and the maximum price of the purchases shall be the amount of the last independent transaction or highest independent existing purchase bid in the Nasdaq Iceland stock exchange. Acro Securities can, according to agreement between the parties, start the buy back on 19 May 2022 and the buy-back programme is in force until Kvika's annual general meeting 2023, or until the repurchase for total consideration amount of ISK 3,000,000,000 of own shares is completed, whichever comes first.

The bank’s trading in own shares pursuant to the buy-back programme shall be declared in accordance with law and regulations.

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting