HAFNIA LIMITED: Update on Share Buyback Program

Rhea-AI Summary

Hafnia (NYSE: HAFN) announced a temporary pause in its recently launched $100 million share buyback program. The program, which began on December 2, 2024, will be suspended from December 23, 2024, to January 5, 2025, resuming on January 6, 2025, without additional announcements. All other terms from the initial launch announcement remain unchanged.

Hafnia operates as a leading global tanker owner with approximately 200 vessels, providing integrated shipping services including technical management, commercial services, and pool management. The company employs over 4,000 staff globally across offices in Singapore, Copenhagen, Houston, and Dubai.

Positive

• Ongoing $100 million share buyback program indicates strong financial position
• Large fleet of approximately 200 vessels shows significant market presence
• Diverse global operations with 4,000+ employees across multiple continents

Negative

• Temporary suspension of buyback program might affect short-term stock price momentum

Insights

Financial Analyst

The $100 million share buyback pause announcement from Hafnia represents a temporary operational adjustment rather than a strategic shift. This brief two-week pause, spanning December 23 to January 5, aligns with typical year-end market liquidity conditions. The program's continuation on January 6 with unchanged terms maintains the company's commitment to returning value to shareholders.

The buyback program, representing approximately 4% of Hafnia's $2.5 billion market cap, reflects robust financial health in the tanker sector. Current tanker rates remain strong, supporting cash flow generation and capital return initiatives. The temporary pause likely aims to optimize execution during lower year-end trading volumes while ensuring compliance with regulatory requirements.

For investors, this routine administrative announcement doesn't alter the fundamental thesis behind the buyback strategy. The company's position as a leading tanker owner with approximately 200 vessels continues to benefit from stable demand for oil and chemical transportation services.

SINGAPORE--(BUSINESS WIRE)-- Reference is made to the stock exchange announcement made by Hafnia Limited ("Hafnia" or the "Company", OSE ticker code: "HAFNI", NYSE ticker code: "HAFN") on December 2, 2024, regarding the launch of a share buyback program of up to USD 100 million, from December 2, 2024, to January 27, 2025 (the "Buy-Back Program").

The Company hereby announces that the Buy-Back Program will be on pause with no shares being acquired by the Company from and including December 23, 2024, to and including January 5, 2025.

The Buy-Back Program will commence again on January 6, 2025, without further announcement.

Otherwise the terms set out in the launch announcement on December 2, 2024, remain unchanged.

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act and article 5 of the European Market Abuse Regulation.

About Hafnia Limited:

Hafnia is one of the world's leading tanker owners, transporting oil, oil products and chemicals for major national and international oil companies, chemical companies, as well as trading and utility companies.

As owners and operators of around 200 vessels, we offer a fully integrated shipping platform, including technical management, commercial and chartering services, pool management, and a large-scale bunker procurement desk. Hafnia has offices in Singapore, Copenhagen, Houston, and Dubai and currently employs over 4000 employees onshore and at sea.

Hafnia is part of the BW Group, an international shipping group involved in oil and gas transportation, floating gas infrastructure, environmental technologies, and deep-water production for over 80 years.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241222368441/en/

For further information:

Mikael Skov

CEO Hafnia Limited

+65 8533 8900

Source: Hafnia Limited

FAQ

When will Hafnia's (HAFN) share buyback program resume in 2025?

Hafnia's share buyback program will resume on January 6, 2025, following a temporary pause from December 23, 2024, to January 5, 2025.

What is the total value of Hafnia's (HAFN) current share buyback program?

Hafnia's current share buyback program has a total value of up to USD 100 million.

How long is Hafnia's (HAFN) current share buyback program scheduled to run?

The share buyback program is scheduled to run from December 2, 2024, to January 27, 2025.

How many vessels does Hafnia (HAFN) currently operate in its fleet?

Hafnia operates approximately 200 vessels in its fleet.

How many employees does Hafnia (HAFN) currently have?

Hafnia employs over 4,000 employees both onshore and at sea.