DeFi Technologies Announces Share Buyback Program
DeFi Technologies Inc. (the "Company" or "DeFi Technologies") is officially starting a Normal Course Issuer Bid ("NCIB") aimed at repurchasing its common shares considerably. This initiative will take place through platforms such as Nasdaq Capital Markets and CBOE Canada Inc., providing the flexibility to buy back shares based on market conditions.
Purpose of the Buyback Program
The decision for the NCIB stems from the Company's management, who believe that the market price of its shares might not accurately reflect the true value of the Company's business and future prospects. By repurchasing shares, DeFi Technologies seeks to reinforce its commitment to maximizing shareholder value. With a robust cash balance nearing $19.8 million, the Company has the resources to support this initiative.
Details of the NCIB
The NCIB has received approval from the Company's board of directors and aligns with the Cboe Canada framework, adhering to all relevant Canadian securities laws. Set to begin shortly, the NCIB will allow for purchases that do not exceed 10% of the public float or approximately 31.6 million shares, all of which will be retired upon repurchase.
Execution Guidelines
According to the planned regulations, DeFi Technologies can carry out these purchases in compliance with Cboe Canada’s rules, ensuring that daily buybacks do not exceed 25% of the average daily trading volume over a specified period. This measured approach reflects the Company's dedication to prudent management of its capital and shareholder interests.
Appointment of Financial Coordinator
The Company has selected Ventum Financial Corp. to oversee and facilitate transactions under the NCIB. Ventum's expertise will ensure a smooth buying process as DeFi Technologies navigates this significant financial maneuver.
About DeFi Technologies
DeFi Technologies Inc. is a pioneering financial technology firm that acts as a bridge between traditional capital markets and decentralized finance, commonly referred to as "DeFi." As a groundbreaking Nasdaq-listed digital asset manager, DeFi Technologies offers investors diverse access to a range of digital assets via innovative and highly regulated exchange-traded products (ETPs). This initiative underscores their strategic focus on enhancing financial accessibility and interest in the dynamic digital economy.
Focus Areas
DeFi Technologies is not just about asset management; it also has several engaging subsidiaries that drive innovation and create expansive financial solutions. Valour provides exposure to a vast selection of digital assets, while Stillman Digital focuses on servicing institutional needs for execution and custody. Reflexivity Research delivers insightful research tailored to the digital asset sector, and Neuronomics AG harnesses AI to refine trading strategies.
Conclusion
The NCIB reflects DeFi Technologies' confidence in its business model and is part of a broader strategy to return value to shareholders while enabling the growth of the Company in the evolving financial landscape. Stockholders can look forward to seeing how this initiative plays out in the coming months as the Company actively pursues its share buyback program.
Frequently Asked Questions
What is the purpose of DeFi Technologies' NCIB?
The NCIB aims to repurchase common shares to enhance shareholder value by addressing if the market price reflects the Company's true value.
How will the NCIB be executed?
The NCIB will be executed through Cboe Canada and Nasdaq, allowing DeFi Technologies to repurchase shares within regulated limits.
Who is managing the repurchase program?
Ventum Financial Corp. has been appointed to coordinate and facilitate the share buyback transactions under the NCIB.
What financial standing does DeFi Technologies have?
As of now, DeFi Technologies holds a cash balance of approximately $19.8 million, which supports the execution of the NCIB.
How many shares does DeFi Technologies plan to buy back?
DeFi Technologies may repurchase up to 10% of its public float, roughly equating to around 31.6 million common shares.
