VANCOUVER, British Columbia, Feb. 23, 2022 (GLOBE NEWSWIRE) -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) announced today that its Board of Directors has approved an amended dividend policy, declared a dividend and authorized the repurchase of up to $100 million of Class B subordinate voting shares in 2022.
Under the new dividend policy, the annual base dividend has been increased from $0.20 per share to $0.50 per share. In accordance with the new dividend policy and Teck’s Capital Allocation Framework, Teck’s Board of Directors declared an eligible dividend of $0.625 per share on its outstanding Class A common shares and Class B subordinate voting shares, to be paid on March 31, 2022, to shareholders of record at the close of business on March 15, 2022, consisting of the $0.125 per share quarterly base dividend and a supplemental dividend of $0.50 per share.
In addition to the dividend payment, the Board has granted management the authority to purchase up to $100 million of Class B subordinate voting shares annually. Additional buybacks will be considered regularly. Taking into account the new annual base dividend in 2022, the supplemental dividend, and assuming the $100 million in share repurchases, these initiatives represent approximately $635 million in aggregate of dividends and potential share repurchases.
All share repurchases are expected to be made in accordance with Teck’s previously announced normal course issuer bid program, or any renewal thereof, or by such other means as may be permitted under applicable securities laws. The current program authorizes Teck to purchase up to 40 million Class B subordinate voting shares through the period ending November 1, 2022. Any repurchases following that date may depend on regulatory approval of a renewed normal course issuer bid program. Teck intends to purchase shares opportunistically. The company will determine the timing of any purchases, and may repurchase fewer or a greater number of shares, subject to the requirements of the issuer bid program and applicable securities laws.
Teck Declares $0.625 per Share Dividend; Increases Annual Base Dividend to $0.50 per Share and Authorizes up to $100 Million Share Buyback