Reference is made to Kvika banki hf.'s ("Kvika" or the "Bank") announcement dated 3 July 2026 regarding the launch of a share buyback programme.
The Board of Directors of the Bank has decided to terminate the existing share buyback programme announced on 3 July 2026 and, simultaneously, launch a new share buyback programme based on the same authorisations as previously, subject to the terms and conditions set out below. The purpose of the new programme is to amend the limit applicable to daily repurchases, such that purchases on any trading day may amount to up to 25% of the average daily trading volume in the Bank's shares during the 20 trading days preceding the purchase date.
At Kvika's Annual General Meeting held on 18 March 2026, shareholders authorised the Board of Directors to purchase up to 10% of the Bank's issued share capital, including for the purpose of establishing a formal share buyback programme. Pursuant to that authorisation and having obtained the approval of the Financial Supervisory Authority of the Central Bank of Iceland, the Board of Directors resolved on 3 July 2026 to establish a share buyback programme for the repurchase of shares for an aggregate purchase price of up to ISK 2,000,000,000, provided that no more than 200,000,000 shares may be acquired, for the purpose of reducing the Bank's issued share capital.
During the period from 6 July 2026 up to and including 11 September 2026 Kvika has acquired a total of 33,499,997 shares under the buyback programme being terminated by this announcement, for an aggregate purchase price of ISK 446,199,959.
The Board of Directors has simultaneously decided to launch a new share buyback programme based on the same authorisation granted by the Annual General Meeting and the approval of the Financial Supervisory Authority of the Central Bank of Iceland.
Repurchases under the programme may amount to a maximum aggregate purchase price of ISK 1,553,800,041 and no more than 166,500,003 shares. The scope of the new programme reflects the repurchases already completed and therefore does not increase the total size of the buyback programme previously announced. Íslandsbanki hf. will continue to manage the execution of the programme and will make all decisions relating to the acquisition of shares, including with respect to the timing of purchases, independently of Kvika.
Repurchases under the buyback programme will be carried out such that purchases on any trading day will not exceed 25% of the average daily trading volume in Kvika shares on the Nasdaq Iceland regulated market during the 20 trading days preceding the purchase date.
Íslandsbanki hf. can, according to agreement between the parties, start the buyback on 14 September 2026 and the buyback programme will remain in effect until shares have been repurchased for an aggregate consideration of ISK 2,000,000,000 or 200,000,000 shares have been acquired, whichever occurs first, but no later than 30 April 2027.
The buyback programme will be implemented in accordance with the Icelandic Public Limited Companies Act No. 2/1995, Regulation (EU) No. 596/2014 on market abuse (MAR), Commission Delegated Regulation (EU) 2016/1052 supplementing MAR, and Act No. 60/2021 on Measures Against Market Abuse, which entered into force in Iceland on 1 September 2021. In deciding on and executing repurchases under the programme, Kvika will comply with all applicable legal and regulatory requirements. The implementation of the programme will ensure transparency in transactions involving the Bank's own shares.
Transactions in the bank's own shares under the buyback programme will be disclosed in accordance with applicable laws and regulations.
Further information is available from Kvika Investor Relations at ir@kvika.is.
