At the Annual General Meeting of Kvika banki hf. (“Kvika” or the “bank”) on 21 March 2024, the shareholders approved to authorise the board of directors to buy up to 10% of issued shares in the bank, to among other things enable the board of directors to carry out a formal buyback programme.
On the basis of that approval, the board of directors of Kvika decided on 27 February 2025 to exercise a part of that authorisation and establish a buyback programme to carry out the purchase of shares for total consideration amount of ISK 2,500,000,000 but for no higher nominal amount than 400,000,000 shares, for the purpose of reducing Kvika’s issued share capital. Kvika holds 61,893,341 of own shares.
Íslandsbanki hf. will be supervising the execution of the buyback programme and making all decisions regarding the acquisition of shares and the timing of the acquisitions independently of Kvika. The execution of the buyback programme must comply with Act on Public Limited Companies, No. 2/1995. In addition, the buy-back programme 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 programmes and stabilisation measures, which supplements that Regulation. When deciding on and executing a buyback programme, the above-mentioned provisions will be complied with as currently applicable, and the implementation of such a programme shall ensure transparency in such transactions with own shares.
The execution of the buyback programme is conducted in such a way that purchases each day do not exceed a maximum of 25% of the daily average turnover of Kvika‘s shares in 20 days preceding the day of purchase and the maximum price of the purchases shall be the amount of the last independent transaction or highest independent existing purchase bid in the Nasdaq Iceland stock exchange. Íslandsbanki can, according to agreement between the parties, start the buy back on 3 March 2025 and the buy-back programme is in force until Kvika’s annual general meeting 2026, or until the repurchase for total consideration amount of ISK 2,500,000,000 is completed, whichever comes first.
The bank’s trading in own shares pursuant to the buyback programme shall be declared in accordance with law and regulations.
Further information please contact Kvika‘s investor relations at [email protected]
