Gelonghui April 18 | Pacific Shipping (02343.HK) announced that the company plans to implement a share repurchase plan from April 25, 2024 to December 31, 2024. The share repurchase plan will be implemented by exercising the powers of the board of directors at the recent annual general meeting of shareholders to be held on April 19, 2024 to recommend that shareholders grant the board of directors a general mandate to repurchase shares.
According to the share repurchase plan, the company plans to buy back its shares on the open market according to the following parameters:
1. Maximum capital to repurchase shares: US$40 million (equivalent to approximately HK$3.12). For clarification only, if the amount of USD 40 million is used, the shares that can be purchased back on the date of the announcement would account for approximately 2.45% of the total number of issued shares based on the closing price of the shares at HK$2.42 on April 18, 2024.
2. The period of the share repurchase plan: From April 25, 2024 to December 31, 2024 (both days included). During this period, the share repurchase plan will be implemented by exercising the powers of the board of directors under the 2024 share repurchase authorization, and will comply with the company's articles of association, the Stock Exchange Securities Listing Rules (“Listing Rules”), the “Code on Company Takeovers, Mergers and Share Repurchases”, and all other applicable laws and regulations of Hong Kong and Bermuda.
3. Repurchase Price: According to the listing rules, the repurchase price of each share shall not be higher than 5% or more of the average closing price of the shares on the five trading days immediately prior to each repurchase.
4. Source of funding: The company plans to use its available cash flow and internal resources to fund share repurchases while maintaining sufficient financial resources to maintain the continued growth of the business.