The Board of Directors of Arion Bank has approved to authorize the management of the Bank to initiate share buy-back programs in Iceland and Sweden (the Programs) to purchase own shares (including in the form of SDRs). This is in accordance with an authorization granted by Arion Bank's Annual General Meeting on 20 March 2019 and the prior approval of the Financial Supervisory Authority dated 10 September 2019.
The purpose of the Programs is to reduce the Bank's share capital (in line with the Bank's Dividend Policy). The Bank may purchase up to 59,000,000 shares in total under the Programs corresponding to 3.25% of the current issued share capital. The Bank currently holds 305,015 of its own shares. The total consideration purchased under the Programs shall not exceed ISK 4.5 billion. The purchase price shall not be higher than the price of the last independent trade or the highest current independent bid, whichever is higher, on the regulated market where the transaction is carried out. Transactions under the Program shall be publicly disclosed in accordance with applicable law and regulation in Iceland and Sweden respectively. The Programs shall end no later than 17 March 2020 but the CEO is entitled to discontinue the Programs at any time.
As soon as available, the Bank will disclose information about the initiation date, daily volume limits and the manager(s) of the Programs, which will be independent and make trading decisions independently and without influence by the Bank with regards to the timing of purchases.
The Programs will be carried out in accordance with applicable law and regulation in Iceland and Sweden, including Regulation No. 596/2014 of the European Parliament and of the Council on market abuse ("MAR"), Icelandic Acts on limited liability companies, No. 2/1995 and on securities transactions, No. 108/2007, and Icelandic Regulation on insider information and market manipulation, No. 630/2005.
For further information please contact Arion Bank's Investor Relations at ir@arionbanki.is or Theodor Fridbertsson, Head of Investor Relations, +354 856 6760.
