Kirkland Lake Gold to buy back up to 10% of its own shares

Kirkland Lake Gold Ltd. has been given the okay from the Toronto Stock Exchange to renew a normal course issuer bid. In a news release before the market opened this morning, the company said the NCIB allows Kirkland Lake Gold to purchase up to 27,711,401 common shares of the company, representing 10% of the current issued and outstanding common shares in the public float as of June 2, 2020. As at June 2, 2020, the company had 277,244,914 Common Shares issued and outstanding.

Purchases of the Common Shares pursuant to the NCIB may be made through the facilities of the TSX and/or alternative Canadian trading systems, commencing on June 8, 2020 and ending on June 7, 2021, or such earlier time as the NCIB is completed or terminated by the Company. Any purchases made pursuant to the NCIB will be made in accordance with the rules of the TSX and will be made at the market price at the time of purchase.

The average daily trading volume for the six-month period ended April 30, 2020, less prior NCIB purchases made on the TSX, was 1,700,901 Common Shares. Under the renewed NCIB, the maximum number of Common Shares that the Company may purchase on a daily basis, other than block purchase exemptions, are 425,225 Common Shares. The actual number of Common Shares purchased for cancellation and the timing of such purchase will be determined by the Company. There cannot be any assurance as to how many Common Shares will ultimately be purchased for cancellation under the NCIB.

The Board of Directors of Kirkland Lake Gold has determined that the repurchase of Common Shares pursuant to the proposed NCIB presently constitutes an appropriate use of financial resources and would be in the best interest of Kirkland Lake Gold shareholders. 

Under the previous NCIB, the Company sought and received approval from the TSX to purchase up to 20,989,692 Common Shares for the period of May 29, 2019 to May 28, 2020. The Company purchased 10,440,700 Common Shares pursuant to the previous NCIB in the last twelve months at an average price of C$46.22 per Common Share on the TSX and alternative Canadian trading systems.

About Kirkland Lake Gold Ltd.

Kirkland Lake Gold Ltd. is a growing gold producer operating in Canada and Australia that produced 974,615 ounces in 2019. The production profile of the Company is anchored by three high-quality operations, including the Macassa Mine and Detour Lake Mine, both located in Northern Ontario, and the Fosterville Mine located in the state of Victoria, Australia. Kirkland Lake Gold's solid base of quality assets is complemented by district scale exploration potential, supported by a strong financial position with extensive management expertise.

 

Tags: Northern Ontario / Deals & Financial / Gold / All Articles