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Nickel 28 Announces Proposed Normal Course Issuer Bid and Adoption of Shareholder Capital Return Policy
Toronto, Ontario--(Newsfile Corp. - July 10, 2024) - Nickel 28 Capital Corp. (TSXV: NKL) (FSE: 3...
About this update from Nickel 28 Capital Corp
[{"type":"text","content":"\nNickel 28 Announces Proposed Normal Course Issuer Bid and Adoption of Shareholder Capital Return PolicyToronto, Ontario--(Newsfile Corp. - July 10, 2024) - Nickel 28 Capital Corp. (TSXV: NKL) (FSE: 3JC0) (\"Nickel 28\" or the \"Company\") is pleased to announce a proposed normal course issuer bid (\"NCIB\") to repurchase its common shares in connection with the adoption of a new shareholder capital return policy by the Company. In the opinion of management and the board of directors of the Company (the \"Board\"), the common shares have recently traded in a price range that represents a substantial discount to the Company's net asset value and does not reflect the underlying value of the Company.\"Using Nickel 28's excess liquidity to buy back common shares at their current trading price would be highly accretive to our net asset value per share,\" stated Christopher Wallace, Interim Chief Executive Officer of the Company. \"Accordingly, the proposed purchase for cancellation of shares by Nickel 28 during these times will benefit the remaining shareholders by increasing their proportionate ownership in the Company,\" he continued. The NCIB has been proposed in connection with the Board's adoption of a new shareholder capital return policy that articulates the Board's intended approach to the return of shareholder capital from free cash flow. A copy of this policy will be available on the Company's website at www.nickel28.com. Nickel 28 has submitted a notice of intention to undertake the NCIB to the TSX Venture Exchange (\"TSXV\") in connection with the purchase by Nickel 28 of up to 7,153,629 of its common shares, representing approximately 7.9% of the 90,143,722 common shares comprising Nickel 28's total issued and outstanding common shares as of July 9, 2024, less the 4,965,222 common shares to be cancelled pursuant to the settlement agreement previously announced on June 18, 2024. All common shares purchased by Nickel 28 will be purchased on the open market through the facilities of the TSXV in accordance with the rules, regulations and policies of the TSXV and will be cancelled. The actual number of common shares which may be purchased, and the timing of such purchases, will be determined by Nickel 28. Decisions regarding purchases will be based on market conditions, share price, best use of available cash, and other fact...