ARC Resources Ltd T.ARX

Receives TSX Approval for Normal Course Issuer Bid

[Betteryear2]

CALGARY, AB, Aug. 30, 2021 /CNW/ - (TSX: ARX) ARC Resources Ltd. ("ARC" or the "Company") announced today that the Toronto Stock Exchange ("TSX") has accepted the notice filed by ARC to commence a normal course issuer bid ("NCIB"). The NCIB allows ARC to purchase up to 72,236,753 of its outstanding common shares ("Common Shares"), representing 10 per cent of the Company's public float, over a 12-month period commencing September 1, 2021.

The NCIB will complement ARC's sustainable and growing dividend in the Company's strategy to accelerate the return of capital to shareholders. ARC believes that when large dislocations exist between the share price and the intrinsic value of the business, an NCIB can increase shareholder value and per share growth in the business.

Under the NCIB, Common Shares may be purchased in open market transactions on the TSX and other alternative trading platforms in Canada and in accordance with the TSX rules for NCIBs. The NCIB will commence on September 1, 2021 and expire no later than August 31, 2022. The total number of Common Shares that ARC is permitted to purchase is subject to a daily purchase limit of 822,483 Common Shares, which represents 25 per cent of the average daily trading volume of 3,289,932 Common Shares on the TSX for the six months ended July 31, 2021; however, ARC may make one block purchase per calendar week which exceeds the daily repurchase restrictions. Any Common Shares that are purchased under the NCIB will be cancelled.

The Company has, in connection with the NCIB, entered into an automatic share purchase plan with a broker to enable ARC to provide standard instructions and to purchase Common Shares on the open market during self-imposed blackout periods. Outside of these blackout periods, Common Shares may be purchased under the NCIB in accordance with Management's discretion.

A copy of the Form 12 Notice of Intention to Make a Normal Course Issuer Bid filed by ARC with the TSX can be obtained from the Company upon request without charge.

As of the close of business on August 23, 2021, the Company had 724,952,382 Common Shares outstanding.

This news release does not constitute an offer to sell securities, nor is it a solicitation of an offer to buy securities, in any jurisdiction.

 

[TimeBuilder]

Thanks ffor that   :>))   72  mil over 12  months.. Hope they have the extra  cash !!!

[shenty46]

so basically no further increase in dividend is expected now, with almost all the fcf going towards attachie and ncib.

[alertmeipp]

at current valuation, I don't mind they postpone Attachie and pile all additional FCF to buyback.

[uncutgems]

I would not hope or wish for a buyback. you will be Severely dissapointed.

[uncutgems]

if you PREFER the share count to be lower maybe not MORE THAN DOUBLING IT earlier this year would have been a "good idea"... you won't get YOUR BUYBACK. The announcement is basically a place holder, something to point to when investors call the "hot line"....it won't happen ANY TIME SOON.

[Trapped]

My bank / insurance shares pay me sweet dividends, so I'm definitely good with a balanced approach for the time being. For me, this is a deep value play that represents an easy double for those with a reasonable investment timeline IMO. And I know that there's a lot of discussion about Attachie, but smart investors know that you have to spend money to make money. ARX isn't a one-play

[MyHoneyPot]

Sorry Trapped, you thinking limits you... When you have 4 or 5 postage stamp plays in one area and put a circle around them and call them Dawson, it really more of the same but you don't have a meaningful land base in any one area of that play so that it can stand alone on its own, or maybe better when you have a single play area that produces twice the boe's, with 60% better cashflow per

[Beakr123]

Your calling someone out for limited thinking? Thats rich MHP. 

[MyHoneyPot]

Breaky i would call you out for a lot more than limited thinking, but do not think it would be constructive for this board. IMHO

[Beakr123]

If your concerned about constructive posting on this board perhaps you should leave. 

[uncutgems]

They won't be buying CREW. they won't be taking on MASSIVE undeveloped resource and even MORE DEBT, when they can't even get ATTA off the ground and can't even grow KAKWA withing cash flows. Let me repeat. They won't be buying crew. The last deal they made buying 7g has been a disaster so far. you don't go out and buy again with the 7g disater fresh in the memory. this

[MyHoneyPot]

They named Attachie after a chief for all the good it has done them.  So i don't expect anything from Attachie, and the share buyback can only be justified because the stock is trading at such a dismal level. Kakwa would be producing 220,000 boe a day if not purchased by ARC resources, instead it is a tad over 170,000 boe, i guess this is represenative of ARC management adding this

[Trapped]

I agree with you 100 per cent on debt repayment and Crew, but not about the VII acquisition. ARX absolutely STOLE this asset and did a masterful job of bringing it home. The ink dried less than five months ago and they are printing cash and paying down debt rapidly as the more troublesome hedges begin to fall off. I'll take 'disasters' like that all day long. 

[Trapped]

Just saw this: Great News that will result in share appreciation and broader interest from institutions and new investors. This company is doing ALL the right things and exactly what it said it would do. Anyone who can't see that is suffering from a cognitive bias based on shortsighted thinking and an unhealthy fixation bordering on mental illness. Thanks for sharing and GLTA ARX longs! Our