PERTH (miningweekly.com) – ASX-listed Mineral Resources (MinRes) this week announced it would buy back up to 10% of its fully paid ordinary shares over the next 12 months.
The company would spend about A$40-million on a capital management package, which would include a A$10-million interim fully franked dividend and up to A$30-million to repurchase the shares.
MinRes told shareholders during the company’s annual general meeting that the onmarket share buy-back was an effective and value-accretive method to return capital to shareholders at a time when the company’s shares were trading at a significant discount to their fair value.
The share buy-back would not require shareholder approval, and would likely start on December 4. The timing and the actual number of the shares purchased under the buy-back would depend on the prevailing share price and market conditions, MinRes said.