Post by
yellowgulch on Dec 02, 2021 1:56pm
Dividend and buyback announcements (text)
Aura Declares dividend of US$0.35 per share
to be paid in December 2021
ROAD TOWN, British Virgin Islands, December 1, 2021 -- Aura Minerals Inc. (TSX: ORA, B3: AURA33) (“Aura” or the
“Company”) announced today that the board of directors of the Company (the “Board”) has declared and approved the
payment of a dividend (the “Dividend”) of US$0.35 per common share (approximately US$25.4 million in total). The Dividend
is in respect of, and is based on Aura’s expected financial results for, the year ending December 31, 2021. In light of the
Company’s financial position and strong liquidity (with cash and cash equivalents of approximately US$165 million as at
September 30, 2021) and based on the Board’s assessment of the best interests of the Company and its shareholders, the
Board has determined to accelerate payment of the dividend in respect of the year ending December 31, 2021, which under
the Company’s dividend policy would normally be paid in Q2 2022.
Under the Company’s dividend policy, the Company’s annual dividend is based on 20% of its annual Adjusted EBITDA1 less
sustaining capital expenditures and exploration capital expenditures. The amount of the Dividend is based on the actual results
for the first nine months of the year and the expected results for Q4 2021, including expected production, cash costs and
sustaining and exploration capex for Q4 2021, all of which are in line with the Company’s latest guidance. For Q4 2021, the
Company assumed metal prices consistent with the previous guidance included in its Q3 2021 MD&A2.
The Dividend will be paid on December 15, 2021 to shareholders of record as of the close of business on December 9, 2021
(“Record Date”). Shareholders of record whose address on the books of TSX Trust Company, the Company’s registrar and
transfer agent, is in Canada will receive the Canadian dollar equivalent of the Dividend, based on the market exchange rate
available to TSX Trust Company on the day before the payment date, net of fees. All other shareholders will receive the
Dividend in US dollars.
Holders of the Company’s Brazilian Depositary Receipts as of Record Date are expected to receive payment by December
23, 2021 and will receive the Brazilian Reais equivalent of the Dividend, based on a market exchange rate to be disclosed in
a future press release, in advance of its payment date.
The Dividend is not subject to withholding taxes at the time of payment by the Company.
Rodrigo Barbosa, President & CEO, comments: “Aura continues to generate strong cash flows and we are proud to return
part of it to our shareholders. We have distributed US$ 60 million in April this year and will distribute US$ 25 million in
December, totaling US$ 85 million during the year and generating a dividend yield of about 13.5% for those who invested on
our last follow-on at R$ 48.50 share in November 2020. We reaffirm our commitment to keep a strong dividend policy while
growing our production base to close to 30% in 2021 and maintaining a healthy balance sheet and cash generation to move
forward with our growth projects in the upcoming years.”
Aura Announces Normal Course Issuer Bid and
Concurrent Buyback Program for Brazilian Depositary Receipts
ROAD TOWN, British Virgin Islands, December 1, 2021 – Aura Minerals Inc. (TSX: ORA) (B3: AURA33) ("Aura Minerals" or
the "Company") announces today that the Toronto Stock Exchange (the "TSX") has accepted the Company's notice of intention
to launch a Normal Course Issuer Bid (the "NCIB") for its issued and outstanding common shares (the "Common Shares")
listed on the TSX. The Company is also announcing the concurrent launch of a buyback program (the "BDR Buyback Program")
for its Brazilian depositary receipts (the "BDRs") which are listed on the B3 S.A. – Brasil, Bolsa, Balco (the "B3"), for the
purchase of BDRs by the Company, its subsidiaries or investment vehicles.
Rodrigo Barbosa, Aura Minerals’ President and CEO, comments: "Aura already has an established dividend policy which pays
to its shareholder a minimum of 20% of EBITDA minus sustaining and exploration capex. The NCIB and the BDR Buyback
Program will provide additional alternatives to Aura to return capital to its shareholders".
NCIB
Under the NCIB, Aura Minerals may, if considered advisable, repurchase through the facilities of the TSX and/or alternative
Canadian trading systems, from time to time over the next 12 months, up to an aggregate of 2,677,611 Common Shares (less
the number of BDRs purchased under the BDR Buyback Program discussed below), representing 10% of the “public float”
(within the meaning of the rules of the TSX) as of November 18, 2021, subject to the normal terms and limitations of such bids.
The Company may commence purchases of Common Shares under the NCIB on December 7, 2021, and the NCIB will remain
in effect until the earliest of: (i) December 6, 2022, (ii) the date upon which Aura Minerals acquires the maximum number of
Common Shares permitted under the NCIB, and (iii) the date upon which Aura Minerals provides written notice of termination
of the NCIB to the TSX.
Under the TSX rules, the Company may purchase up to 7,963 Common Shares on the TSX during any trading day, which
represents 25% of the average daily trading volume of 31,853 Common Shares on the TSX during the six months ended
October 31, 2021, other than purchases made pursuant to the block purchase exception. The actual number of Common
Shares which may be purchased pursuant to the NCIB and the timing of any such purchases will be determined by the
management of the Company, subject to applicable law and the rules of the TSX.
Purchases of Common Shares under the NCIB are expected to be made by Scotia Capital Inc. through the facilities of the
TSX, or such other permitted means (including through alternative trading systems in Canada), at prevailing market prices or
as otherwise permitted. Common Shares purchased by the Company under the NCIB will be cancelled or held as treasury
shares; provided that the conditions set forth in the Company’s constating documents are satisfied.
The Company may enter into an automatic share purchase plan (an "ASPP") with a designated broker to allow for the purchase
of Common Shares under the NCIB at times when the Company would ordinarily not be permitted to purchase shares due to
regulatory restrictions or self-imposed blackout periods.
BDR Buyback Program
Aura Minerals intends to concurrently launch a buyback program for its BDRs which are listed on the B3. Each BDR represents
one Common Share. Under the BDR Buyback Program, the Company may purchase from time to time over 12 months, up to
an aggregate of 2,677,611 BDRs (less the number of Common Shares purchased under the NCIB discussed above),
representing 10% of the “public float” (within the meaning of the rules of the TSX) as of November 18, 2021. Purchases of
BDRs under the Buyback Program are expected to be made by BTG Pactual Corretora de Ttulos e Valores Mobilirios S.A.
through the facilities of the B3. For a complete description of the BDR Buyback Program, see Schedule 30-XXXVI pursuant to
the terms of the Brazilian Securities Commission ("CVM") Instruction 480, of December 7, 2009, as amended.
The BDR Buyback Program is not intended to (i) discontinue the Company’s BDR program, or (ii) cancel the Company's
registration with CVM as a foreign issuer registered as a category "A" publicly-held company.
As of November 18, 2021, the Company had 72,592,624 issued and outstanding common shares and a "public float" (within
the meaning of the rules of the TSX) of 26,776,105 Common Shares. The Company believes that the purchases are in the
best interest of the Company and constitute a desirable use of its funds.
The limit for purchases under the NCIB and the BDR Buyback Program is a combined aggregate limit, representing, altogether,
2,677,611 Common Shares, or 10% of the “public float” (within the meaning of the rules of the TSX