Dundee Corporation's Strategic Share Buyback Initiative
Dundee Corporation (TSX: DC.A) has announced that it has received regulatory approval for its plan to renew its normal course issuer bid concerning its class A subordinate voting shares. This program will operate through the Toronto Stock Exchange and is set to last from April 14, 2025, to April 13, 2026. The initiative signifies Dundee's commitment to increasing shareholder value and effectively managing its capital resources.
CEO's Perspective on the Buyback Program
Jonathan Goodman, President and CEO of Dundee Corporation, articulated his positive outlook on this strategic move. He believes that purchasing shares for cancellation at their current market prices represents a sound long-term investment for the company. He remarked on the importance of rationalizing the legacy investment portfolio and prioritizing the monetization of remaining non-core assets. Goodman conveyed that the company will continuously assess options for capital allocation that enhance value for shareholders, aligning with its strategic goal of collaborating with mining companies.
Details of the Buyback Program
Under the renewed Bid, Dundee Corporation plans to acquire up to a maximum of 6,442,048 Class A Shares, which represents around 10% of the company’s public float. As of the end of March 2025, Dundee had a total of 86,305,197 Class A Shares outstanding. The average daily trading volume over the last six months prior to the Bid's acceptance is 76,534 Class A Shares. Consequently, Dundee may purchase up to 19,133 Class A Shares each trading day, subject to the rules governing such transactions.
Implementation of Automatic Purchase Plans
The company intends to implement an automatic purchase plan with its designated broker, ensuring that share purchases are made even during periods when Dundee Corporation would typically be restricted from buying back its shares due to regulatory requirements or specific blackout periods. Outside of this plan, share repurchases will continue at the management's discretion, consistent with TSX regulations and applicable securities laws.
Current Buyback Efforts Under Previous Program
Dundee Corporation is also concluding its current normal course issuer bid, which was set to expire shortly. Under the previous program, approved by the TSX, the corporation aimed to purchase up to 7,692,104 Class A Shares but has so far acquired 81,956 shares at an average price of $1.42 each. This illustrates the company’s proactive approach to managing its stock and investing in its future.
About Dundee Corporation
Dundee Corporation is a well-established Canadian independent holding company listed on the Toronto Stock Exchange under the symbol “DC.A.” With over 30 years of experience, Dundee operates through its various subsidiaries, focusing on mining investments that aim to deliver sustainable, long-term value. As a trusted partner in the mining sector, Dundee is dedicated to making strategic investments that bolster its growth and financial strength.
Contact Information
For any inquiries, please reach out to the Investor and Media Relations team:
T: (416) 864-3584
E: ir@dundeecorporation.com
Frequently Asked Questions
What is the purpose of Dundee Corporation's share buyback program?
The program aims to enhance shareholder value by purchasing Class A Shares at current market prices for cancellation.
What is the maximum number of shares Dundee can buy back?
Dundee Corporation may repurchase up to 6,442,048 Class A Shares under the renewed Bid.
How does the automatic purchase plan work?
The automatic purchase plan allows Dundee to buy back shares even during trading restrictions, ensuring consistent repurchase activity.
What has been the performance of the previous normal course issuer bid?
In the current bid, Dundee has purchased 81,956 shares at an average price of $1.42 and aimed for a larger buyback initially.
How long will the renewed buyback program last?
The renewed buyback program will be in effect from April 14, 2025, until April 13, 2026.
