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Ovintiv Renews Annual Share Buy-Back Program

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Ovintiv Inc. (NYSE: OVV) (TSX: OVV) has received regulatory approvals to renew its share buy-back program, consistent with its capital allocation framework. The Toronto Stock Exchange (TSX) has accepted Ovintiv's notice to renew its normal course issuer bid (NCIB) to purchase up to 25,920,545 common shares during the period from October 3, 2024, to October 2, 2025. This represents 10% of Ovintiv's public float as of September 20, 2024.

Purchases will be made on the TSX, NYSE, and other designated exchanges at market prices. Ovintiv has also renewed its automatic share purchase plan (ASPP) to allow purchases during blackout periods. Under the existing NCIB, Ovintiv has purchased 12,747,485 common shares at a weighted average price of US$46.44 per share.

Ovintiv Inc. (NYSE: OVV) (TSX: OVV) ha ricevuto approvazioni normative per rinnovare il suo programma di riacquisto di azioni, in linea con il suo quadro di allocazione del capitale. La Borsa di Toronto (TSX) ha accettato la comunicazione di Ovintiv per rinnovare la sua offerta pubblica normale di acquisto di azioni (NCIB) per acquistare fino a 25.920.545 azioni ordinarie nel periodo dal 3 ottobre 2024 al 2 ottobre 2025. Questo rappresenta il 10% della flottazione pubblica di Ovintiv al 20 settembre 2024.

Gli acquisti verranno effettuati sulla TSX, NYSE e altre borse designate a prezzi di mercato. Ovintiv ha anche rinnovato il suo piano automatico di acquisto di azioni (ASPP) per consentire acquisti durante i periodi di blackout. Sotto l'attuale NCIB, Ovintiv ha acquistato 12.747.485 azioni ordinarie a un prezzo medio ponderato di 46,44 USD per azione.

Ovintiv Inc. (NYSE: OVV) (TSX: OVV) ha recibido aprobaciones regulatorias para renovar su programa de recompra de acciones, de acuerdo con su marco de asignación de capital. La Bolsa de Toronto (TSX) ha aceptado el aviso de Ovintiv para renovar su oferta pública normal de compra de acciones (NCIB) para adquirir hasta 25,920,545 acciones comunes durante el período del 3 de octubre de 2024 al 2 de octubre de 2025. Esto representa el 10% de la flotación pública de Ovintiv a partir del 20 de septiembre de 2024.

Las compras se realizarán en la TSX, NYSE y otras bolsas designadas a precios de mercado. Ovintiv también ha renovado su plan automático de compra de acciones (ASPP) para permitir compras durante los períodos de bloqueo. Bajo la NCIB existente, Ovintiv ha comprado 12,747,485 acciones comunes a un precio promedio ponderado de 46.44 USD por acción.

Ovintiv Inc. (NYSE: OVV) (TSX: OVV)는 자본 배분 프레임워크에 따라 자사 주식 재매입 프로그램을 갱신하기 위한 규제 승인을 받았습니다. 토론토 증권 거래소(TSX)는 Ovintiv의 정상적인 자사주 매입 공시(NCIB)를 갱신하기 위한 통지를 수락하여 25,920,545주의 보통주를 2024년 10월 3일부터 2025년 10월 2일까지 매입할 수 있도록 허가했습니다. 이는 2024년 9월 20일 기준 Ovintiv의 공공 유통물의 10%에 해당합니다.

매입은 TSX, NYSE 및 기타 지정된 거래소에서 시장 가격으로 이루어집니다. Ovintiv는 블랙아웃 기간 동안의 매입을 허용하기 위해 자동 주식 매입 계획(ASPP)을 갱신했습니다. 기존의 NCIB에 따라, Ovintiv는 12,747,485주의 보통주를 주당 46.44 미국 달러의 가중 평균 가격으로 매입했습니다.

Ovintiv Inc. (NYSE: OVV) (TSX: OVV) a reçu des approbations réglementaires pour renouveler son programme de rachat d'actions, conformément à son cadre d'allocation de capital. La Bourse de Toronto (TSX) a accepté l'avis d'Ovintiv pour renouveler son offre publique normale d'achat d'actions (NCIB) afin d'acheter jusqu'à 25 920 545 actions ordinaires durant la période du 3 octobre 2024 au 2 octobre 2025. Cela représente 10 % de la flottation publique d'Ovintiv au 20 septembre 2024.

Les achats se feront sur la TSX, le NYSE et d'autres bourses désignées à des prix de marché. Ovintiv a également renouvelé son plan d'achat d'actions automatique (ASPP) pour permettre des achats pendant les périodes de blocage. Dans le cadre de la NCIB existante, Ovintiv a acheté 12 747 485 actions ordinaires à un prix moyen pondéré de 46,44 USD par action.

Ovintiv Inc. (NYSE: OVV) (TSX: OVV) hat regulatorische Genehmigungen erhalten, um ihr Aktienrückkaufprogramm im Einklang mit ihrem Kapitalverteilungsrahmen zu erneuern. Die Toronto Stock Exchange (TSX) hat die Mitteilung von Ovintiv akzeptiert, ihre normale Emittentenofferte (NCIB) zu erneuern, um bis zu 25.920.545 Stammaktien im Zeitraum vom 3. Oktober 2024 bis zum 2. Oktober 2025 zu erwerben. Dies entspricht 10 % des öffentlichen Streubesitzes von Ovintiv zum 20. September 2024.

Die Käufe werden an der TSX, NYSE und anderen festgelegten Börsen zu Marktpreisen durchgeführt. Ovintiv hat auch seinen automatischen Aktienkaufplan (ASPP) erneuert, um Käufe während der Handelsaussetzungen zu ermöglichen. Im Rahmen der bestehenden NCIB hat Ovintiv 12.747.485 Stammaktien zu einem gewogenen Durchschnittspreis von 46,44 USD pro Aktie gekauft.

Positive
  • Renewal of share buy-back program, indicating confidence in the company's financial position
  • Approval to purchase up to 25,920,545 common shares, representing 10% of public float
  • Consistent with capital allocation framework, returning at least 50% of post-base dividend Non-GAAP Free Cash Flow to shareholders
  • Renewal of Automatic Share Purchase Plan (ASPP) allowing purchases during blackout periods
Negative
  • None.

Insights

Ovintiv's renewal of its share buy-back program is a positive signal for investors. The company's commitment to return at least 50% of post-base dividend Non-GAAP Free Cash Flow to shareholders demonstrates a strong focus on shareholder value. The authorization to repurchase up to 25,920,545 shares, representing 10% of the public float, is significant.

Key points to consider:

  • The renewal aligns with Ovintiv's capital allocation strategy, potentially boosting earnings per share and stock price.
  • The Automatic Share Purchase Plan (ASPP) allows for consistent buybacks, even during blackout periods.
  • Under the previous NCIB, Ovintiv repurchased 12,747,485 shares at an average price of $46.44, showing a track record of executing buybacks.
  • The NCIB Exemption allows for more flexible repurchases on U.S. marketplaces, potentially increasing liquidity for the stock.

While share buybacks can be seen positively, investors should also consider the company's overall financial health, growth prospects and the energy market conditions when evaluating the long-term impact of this program.

Company Receives TSX Approval for Renewal of Normal Course Issuer Bid

DENVER, Sept. 26, 2024 /PRNewswire/ - Ovintiv Inc. (NYSE: OVV) (TSX: OVV) today announced it has received regulatory approvals for the renewal of its share buy-back program. This action is consistent with the Company's capital allocation framework, which returns at least 50 percent of post base dividend Non-GAAP Free Cash Flow to shareholders.

The Toronto Stock Exchange ("TSX") has accepted Ovintiv's notice of intention to renew its normal course issuer bid ("NCIB") to purchase up to 25,920,545 common shares during the 12-month period commencing October 3, 2024, and ending October 2, 2025. The number of shares authorized for purchase represents 10 percent of Ovintiv's public float as of September 20, 2024, as calculated pursuant to TSX rules.  Purchases will be made on the open market through the facilities of the TSX, New York Stock Exchange ("NYSE"), other designated exchanges and/or alternative trading systems in Canada and the United States at the market price at the time of acquisition, as well as by other means permitted by stock exchange rules and securities laws including Rule 10b-18 under the Securities Exchange Act of 1934, as amended.

Ovintiv has also renewed its automatic share purchase plan ("ASPP") allowing it to purchase common shares under the NCIB when Ovintiv would ordinarily not be permitted to purchase shares due to regulatory restrictions and customary self-imposed blackout periods. Pursuant to the ASPP, Ovintiv will provide instructions during non-blackout periods to its designated broker, which may not be varied or suspended during the blackout period. Purchases by Ovintiv's designated broker will be in accordance with applicable stock exchange rules and securities laws and the terms of the ASPP.  All purchases made under the ASPP are included in computing the number of common shares purchased under the NCIB. The ASPP has been pre-cleared as required by the TSX.

The actual number of common shares that may be purchased under the NCIB and the timing of any such purchases will be determined by Ovintiv. The average daily trading volume through the facilities of the TSX, excluding purchases made on such facilities, during the most recently completed six-month period was 110,556 common shares. Consequently, daily purchases through the facilities of the TSX will be limited to 27,639 common shares, other than block purchase exceptions.  Purchases over the NYSE will be made in compliance with the volume limitations in Rule 10b-18 in relation to average daily trading volume and block trades.  All common shares acquired by Ovintiv under the NCIB may be cancelled or returned to treasury as authorized but unissued shares.

Pursuant to its existing NCIB, under which Ovintiv received approval from the TSX to purchase up to 26,734,819 common shares during the 12-month period commencing October 3, 2023 and ending October 2, 2024, Ovintiv has purchased 12,747,485 common shares on the TSX, NYSE and alternative trading systems at a weighted average purchase price of US$46.44 per common share.

On March 9, 2022, Ovintiv obtained an exemption order (the "NCIB Exemption") from applicable Canadian regulators, permitting Ovintiv to make repurchases under the NCIB through the facilities of the NYSE and other United States-based trading systems in excess of 5 percent of Ovintiv's outstanding number of shares, the maximum allowable under applicable Canadian securities laws absent an exemption.  The NCIB Exemption allows Ovintiv to repurchase up to 10 percent of Ovintiv's public float on such U.S. marketplaces provided that Ovintiv's aggregate repurchases on all marketplaces do not exceed this amount over the 12-month period of the NCIB, which is consistent with the maximum number of shares Ovintiv is able to purchase under the NCIB. The other conditions to the NCIB Exemption are outlined in Ovintiv's 2024 second quarter report on Form 10-Q filed on EDGAR and SEDAR+.     

ADVISORY REGARDING FORWARD-LOOKING STATEMENTS - This news release contains certain forward-looking statements or information (collectively, "FLS") within the meaning of applicable securities legislation, including the United States Private Securities Litigation Reform Act of 1995. FLS include: the planned share repurchase program, including the amount and number of shares to be acquired, treatment of such shares following purchase, anticipated timeframe, method and location of purchases, announced capital framework; and benefits of the NCIB.

Readers are cautioned against unduly relying on FLS which, by their nature, involve numerous assumptions, risks and uncertainties that may cause such statements not to occur, or results to differ materially from those expressed or implied. These assumptions include: future commodity prices and differentials; foreign exchange rates; ability to access cash, credit facilities and shelf prospectuses; and expectations and projections made in light of, and generally consistent with, Ovintiv's historical experience and its perception of historical trends, including with respect to the pace of technological development, benefits achieved and general industry expectations.

Risks and uncertainties that may affect these business outcomes include: ability to generate sufficient cash flow to meet obligations and fund the NCIB; commodity price volatility; variability in the amount, number of shares, method, location and timing of purchases, if any, pursuant to the NCIB; fluctuations in currency and interest rates; and other risks and uncertainties impacting Ovintiv's business, as described in its most recent Annual Report on Form 10-K and as described from time to time in Ovintiv's other periodic filings as filed on EDGAR and SEDAR+.

Although Ovintiv believes the expectations represented by such FLS are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned that the assumptions, risks and uncertainties referenced above are not exhaustive. FLS are made as of the date of this news release and, except as required by law, Ovintiv undertakes no obligation to update publicly or revise any FLS. FLS contained in this news release are expressly qualified by these cautionary statements.

Further information on Ovintiv is available on the company's website, www.ovintiv.com, or by contacting:

Investor contact:

(888) 525-0304                      

Media contact:

(403) 645-2252

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/ovintiv-renews-annual-share-buy-back-program-302259236.html

SOURCE Ovintiv Inc.

FAQ

How many shares is Ovintiv (OVV) authorized to purchase under the renewed NCIB?

Ovintiv is authorized to purchase up to 25,920,545 common shares under the renewed Normal Course Issuer Bid (NCIB).

What is the duration of Ovintiv's (OVV) renewed share buy-back program?

Ovintiv's renewed share buy-back program runs for a 12-month period from October 3, 2024, to October 2, 2025.

How many shares has Ovintiv (OVV) purchased under its existing NCIB?

Under the existing NCIB, Ovintiv has purchased 12,747,485 common shares at a weighted average price of US$46.44 per share.

What is the purpose of Ovintiv's (OVV) Automatic Share Purchase Plan (ASPP)?

The ASPP allows Ovintiv to purchase common shares under the NCIB during regulatory restrictions and customary self-imposed blackout periods when it would ordinarily not be permitted to purchase shares.

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