Canacol Energy Ltd. (TSX: CNE) announced on Tuesday that the Toronto Stock Exchange has accepted its notice to conduct a share buyback program. The normal course issuer bid is expected to run from December 24, 2021, to December 23, 2022.
The company plans to purchase back up to 10,513,661 common shares, 10% of the public float as of December 21, 2021. According to the regulations, the firm can purchase a daily maximum of 43,316 common shares, or 25% of the average daily trading volume.
The energy firm also entered into an automatic share purchase plan with a designated broker. The purchase plan allows for share repurchases under the program that would not ordinarily be permitted “due to regulatory restrictions and customary self-imposed blackout periods.”
In its previous share buyback program, the company was allowed to purchase up to 11,341,964 common shares but was only able to cancel an aggregate of 3,348,500 common shares at an average of $3.24 per share.
The company recently shared its 2022 production guidance, highlighting expected realized contractual gas sales next year to be 160 – 200 million standard cubic feet per day.
Canacol Energy Ltd. last traded at $3.17 on the TSX.
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