Civeo Corporation Initiates Regular Quarterly Dividend of $0.25 Per Share and Announces Renewal of Share Repurchase Authorization
- Civeo introduces quarterly dividend as part of capital allocation strategy.
- Board of Directors renews share repurchase authorization for up to 5% of common shares outstanding.
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The quarterly dividend is a new element in the Company’s capital allocation strategy, which has historically focused on debt reduction and returning capital to shareholders through share repurchases.
“Our disciplined approach to capital allocation has enabled us to reach our target net leverage ratio range of 1.00x to 1.25x while also repurchasing the equivalent of over 2.1 million Civeo common shares, or
Mr.
Please see our updated Investor Relations presentation on our website for more details on our capital allocation strategy moving forward.
Share Repurchase Authorization
In addition to the announcement of the quarterly dividend, the Company announced today that its Board of Directors has renewed its share repurchase authorization for the Company to repurchase up to
Civeo intends to fund repurchases through cash on hand and cash generated from operations. The Company plans to opportunistically use this program as part of the aforementioned capital allocation strategy.
This share repurchase authorization is made in reliance on the “other published markets” exemption from the formal issuer bid requirements under applicable securities laws for normal course issuer bids and represents the maximum annual share repurchase authorization permitted under the exemption.
About Civeo
Civeo Corporation is a leading provider of hospitality services with prominent market positions in the Canadian oil sands and the Australian natural resource regions. Civeo offers comprehensive solutions for lodging hundreds or thousands of workers with its long-term and temporary accommodations and provides food services, housekeeping, facility management, laundry, water and wastewater treatment, power generation, communications systems, security and logistics services. Civeo currently operates a total of 24 lodges and villages in
Forward Looking Statements
This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are those that do not state historical facts and are, therefore, inherently subject to risks and uncertainties. The forward-looking statements herein, including the statements regarding Civeo’s future plans and outlook, including its long-term operational and cash flow outlook, strategic priorities, guidance, current trends and liquidity needs, and expectations regarding the regular quarterly dividend and share repurchase program, are based on then current expectations and entail various risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these forward-looking statements. Such risks and uncertainties include, among other things, risks associated with the general nature of the accommodations industry, risks associated with the level of supply and demand for oil, coal, iron ore and other minerals, including the level of activity, spending and developments in the Canadian oil sands, the level of demand for coal and other natural resources from, and investments and opportunities in,
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Regan Nielsen
Civeo Corporation
Vice President, Corporate Development & Investor Relations
713-510-2400
Source: Civeo Corporation