Eimskip: Share buy-back program initiated

At the Annual General Meeting of Eimskip on 17 March 2022 the shareholders approved to authorize the Board of Directors to buy up to 10% of issued shares in the company. The authorization should be used among other things for setting up a formal share repurchase program with the aim of reducing the company’s share capital.

The Board of Directors of Eimskip decided today to initiate a new share buy-back program, in accordance with the approval, with the main purpose of reducing the company’s share capital.

The authorization is valid for a term of 18 months from the Annual General Meeting, provided that Eimskip and its subsidiaries may own maximum 10% of the company’s share capital. The number of shares to be acquired under the buy-back program will be up to 1,700,000 which amounts to ca. 1.0% of issued share capital of the company, at a total purchase price which may not exceed ISK 1,000,000,000 at market value.

The purchase price for the shares shall not be higher than the price of the last independent trade or the highest independent bid in Nasdaq Iceland at the time of the transaction. The total number of shares that may be purchased on a single trading day will not exceed 25% of the average daily trading volume in July 2022 on Nasdaq Iceland. Therefore, the maximum number of shares that may be purchased per trading day will be 68,960 shares as of 22 August 2022.

The buy-back program will be managed by Arion bank hf. which will make its trading decisions regarding the purchases and the timing of the purchase, independently without influence by the company. According to an agreement between the parties Arion bank can start the buy-back on 22 August 2022 and the buy-back program is in force until 17 September 2023, unless the conditions for maximum purchase are met before that time.

The execution of the buy-back program must comply with Act on Public Limited Companies, No. 2/1995. In addition, the buy-back program must be implemented as provided for in the Regulation of the European Parliament and of the Council no. 596/2014, on market abuse, as well as the Commission Delegated Regulation (EU) 2016/1052 on regulatory technical standards for the conditions applicable to buy-back programs and stabilization measures, which supplements that Regulation.

Transactions with own 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 1.761.307 today or the equivalent of 1,02% of issued shares in the Company.

For further information please contact Edda Rut Björnsdóttir, Executive Vice President of Human Resources & Communications, tel: , or email:  .