- ASX 200-listed energy company New Hope Corporation (NHC) is set to buy back up to $300 million worth of ordinary shares on the market
- The buy-back is set to begin on or around November 17 and will be completed within 12 months
- It follows New Hope’s record earnings of $1.57 billion for the full year ending July 31, 2022
- NHC’s board believes the company’s current share price doesn’t accurately reflect the value of its assets, and the buy-back will allow it to enhance the value of its shares
- Shares in New Hope are up 3.74 per cent and trading at $5.97 at 1:41 pm AEDT
ASX 200-listed energy company New Hope Corporation (NHC) is set to buy back up to $300 million worth of ordinary shares on the market.
The buy-back is set to begin on or around November 17 and will be completed within 12 months.
It follows New Hope’s record earnings of $1.57 billion for the full year ending July 31, 2022.
NHC’s board said it believed the company’s current share price did not accurately reflect the value of its assets, and the buy-back would allow it to enhance the value of its shares.
The buy-back is subject to New Hope’s share price and market conditions over the next 12 months, and the company has reserved the right to suspend or terminate the buy-back at any time.
“The company expects its strong cash generation to continue as demand for high-energy and lower-emission thermal coal outstrips ongoing tight supply,” Chairman Robert Milner said.
“We believe that the buy-back will benefit all our shareholders as it will reduce the number of shares on issue, thereby supporting the company’s return on equity, earnings per share and dividend per share, for all shareholders who continue to hold shares in New Hope Corporation.”
Shares in New Hope were up 3.74 per cent and trading at $5.97 at 1:41 pm AEDT.