Baytex Energy Corp T.BTE

Buybacks….

[MooninPaPa]

If we buy 6 million shares per month (1%). What do you do when we get to 10% after 10 months if you can only buy back 10%?

missing you BSW hope you well brother!

[HighOctane89]

Apply to the TSE for another NCIB and start buying again .

[MooninPaPa]

Ok! Thought you were limited within the year. Thanks!  Is SIB possible too?

[HighOctane89]

An SIB would only come into play if a fund or large holder wanted to sell a large lot , at that point BTE could apply to buy the lot at a predetermined price rather than have them dumped into the market 

[jleer42]

SIB can be driven by BTE without a large seller. They decide how many shares and at what price (higher than current) they want to buy back and make an offer to all shareholders. There are different ways to fill the SIB, dutch auction etc. but the idea is the same.

[HighOctane89]

Technically you are right jleer but generally it is used to keep big blocks from distorting daily trading . An SIB allows for an offer to purchase but I think the NCIB lets a company more effectively pick up the homeless shares that get passed around in daily trading and thus positively effect price .

[jleer42]

Agreed, but that is also, in part, due to the unsuitability of purchasing these large blocks via NCIB's. Very rarely have companies exceeded the annual 10% limit of NCIB's. As O&G shareholder returns continue without a SP re-rating I expect annual NCIB's will be fully used and some companies will utilize SIB's to continue share repurchases. This is just my opinion, I haven'

[HighOctane89]

They are both valid options for shrinking the shares outstanding , each option has its place in the strategy depending on the circumstances . 

[dllscwbysfn]

Could you do a 2 for 1(or more) stock split and then buy back 10% effectively 20%(or more)

[HighOctane89]

Should have done that when shares were trading under a dollar , sentiment was already bad so throw in the kitchen sink on 1 quarter and then move forward leaner and meaner .