Ovintiv Inc. has renewed its annual share buyback program following approval from the Toronto Stock Exchange (TSX). The buybacks are in conjunction with company aims to return at least 50% of its post base-dividend free cash flow to shareholders, according to a Sept. 26 press release.

Ovintiv said it intended to purchase up to 26.7 million common shares over a 12-month period beginning Oct. 3 and ended Oct. 2, 2024. The shares represent 10% of Ovinitiv’s public float as of Sept. 21, as calculated under TSX rules.

Purchases will be made on the open market through the facilities of the TSX, the New York Stock Exchange and/or alternative trading systems at the market price at the time of acquisition, as well as by other means permitted by stock exchange rules and securities laws.

Ovintiv also renewed its automatic share purchase plan, allowing it to purchase common shares under its normal course issuer bid (NCIB) when Ovintiv would ordinarily not be permitted to purchase shares due to regulatory restrictions and customary self-imposed blackout periods.

The actual number of common shares that may be purchased under the NCIB and the timing of any such purchases will be determined by Ovintiv. The average daily trading volume through the facilities of the TSX, excluding purchases made on such facilities, during the most recently completed six-month period was 239,240 common shares. As a consequence, daily purchases through the facilities of the TSX will be limited to 59,810 common shares, other than block purchase exceptions. 

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