Amaya share buyback approved by TSX
Canadian gaming giant given the go-ahead to repurchase 6,644,737 common shares for "prevailing market prices"
Amaya Gaming has received approval from the Toronto Stock Exchange to purchase and cancel more than 6,644,737 common shares in the Toronto-based firm.
Amaya will pay “prevailing market prices” for the common shares, which amount to around 5% of its total shareholding, “by means of open market transactions”.
The actual number of common shares repurchased and the timing of the transactions will be determined by Amaya.
The firm said the buyback will commence on 18 February 2015 and will remain in effect until 17 February 2016, or until it has purchased the maximum number of shares permitted.
Amaya said it was undertaking the buyback because “from time to time, the prevailing market price” of its common shares “may not reflect the underlying value” of the firm.
The repurchase of shares was first announced in January when Amaya revealed plans to sell off its entire B2B business in order to maximise shareholder value and relieve debt.
The value of Amaya shares tanked in December following news of an ongoing investigation into its acquisition of the Rational Group by financial regulators in Quebec, Canada.
Amaya Gaming’s share price was CA$31.46 at the time of writing.