The Board of Directors of Eimskip has decided to initiate a share buy-back program in accordance with approval of Eimskip shareholders’ meeting on July 24th, 2018 with the main purpose of reducing the company’s share capital.
The authorization is to purchase once or more often for a term of 18 months from the meeting, provided that Eimskip and its subsidiaries may only own at most 10% of the company’s share capital. The number of shares to be acquired under the buy-back program will be up to 3,000,000 which amounts to ca. 1.6% of issued share capital of the company, at a total purchase price which may not exceed ISK 500,000,000 at market value. It is expected that the buy-back according to the program will start Tuesday, 11 June and will remain until the 24 January 2020, unless the conditions for maximum purchase are met before that time.
The purchase price for shares shall not be higher than the highest of the following; the last price of the previous trading day, the price of the last independent trade or the last independent bid in Nasdaq Iceland. The daily trade will not exceed 25% of the average daily volume of the shares traded for the last 20 trading days, starting with 89,628 shares on 11 June 2019.
The buy-back program will be managed by Íslandsbanki which will make its trading decisions regarding the purchases and the timing of the purchase, independently without influence by the company. The execution of the share buy-back program will be according to the provisions of Act respecting Public Limited Companies, no. 2/1995, and Appendix to Regulation on Insider Information and Market Manipulation no. 630/2005. Transactions with owns shares according to the buy-back program will be publicly disclosed no later than at the end of seventh business day following the day of execution of such transactions.
Eimskip’s treasury shares are 360,770 today.
Vilhelm Már Þorsteinsson, CEO
"A formal repurchase program is now initiated for the benefit of shareholders. The company’s dividend payment in 2019 was moderate, and its cash flow and financial position is strong. Therefore it is decided to use the authorization in the company’s articles of association as approved on the shareholders meeting of 24 July 2018 in order to initiate a formal buy-back program."
For further information please contact Edda Rut Björnsdóttir via phone (+354) 825-3399 or investors@eimskip.is
Eimskip is a leading transportation company in the North Atlantic with connections to international markets and is specialized in worldwide freight forwarding services, with the vision of providing excellence in transportation solutions and services.