The board of directors of Bank of N.T. Butterfield & Son Limited has approved a new US$125 million ordinary share repurchase programme, which authorises the bank to buy back up to 3.5 million ordinary shares of the bank through 28 Feb. 2021.
“Having the flexibility to repurchase shares is an important aspect of our capital management strategy, complementing our quarterly cash dividend payments and maintaining the ability to support organic growth and make strategic acquisitions in our core markets,” said Michael Collins, Butterfield’s chairman and chief executive officer, in a press releasae. “We see significant value in repurchasing Butterfield shares and appreciate the confidence and support of the Board with this new authorisation.”
The timing and amount of any share repurchases will be determined by bank management based on its evaluation of market conditions and other factors such as Butterfield’s share price and the availability of alternative capital investments. Repurchases under the new share repurchase programme may be made in the open market or through privately negotiated transactions, including under US SEC Rule 10b5-1 plans, and will be made in accordance with applicable laws and regulations.
This new programme will come into effect following the completion of the current 2.5 million share repurchase authorisation that was announced on 6 Dec. 2018, which currently has approximately 225,000 shares remaining.