Khiron Life “Renews” Buyback Program, Last Program Was A Bust

Khiron Life Sciences (TSXV: KHRN) this morning announced that it is renewing its normal course issuer bid program, which is more commonly referred to as share buybacks. The program is classified as a renewal despite the firms share count expanding multiple times over the last year.

Under the prior program, the company was able to repurchase up to 5.8 million common shares of the issuer. Of this, only 511,500 shares were repurchased, or roughly 0.4% of the outstanding shares of the company, at an average price of $0.41 per share.

Instead, the company has expanded it share count several times over the last year, despite this program reportedly being ongoing. For instance, the company issued 32.2 million units back in November 2020 as part of an oversubscribed $14.5 million bought deal financing. A further 27.4 million units were issued in July 2021 following a $12.3 million bought deal financing.

The latter financing was after the conclusion of the now renewed share buyback program, however it is worth noting.

This latest program will now see up to 5% of the firms outstanding shares repurchased yet again, except this time that figure is good for up to 9.0 million shares. The company has until September 14, 2022 to potentially repurchase these shares under the current program. The program is being facilitated via Scotia Capital.

Khiron Life Sciences last traded at $0.29 on the TSX Venture.

Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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