Catena Media has announced the end of its share buyback programme, having repurchased a total of 2.3 million shares during the fourth month period.
First announced on 13 July and commencing on 13 September, the share buyback scheme allowed Catena to repurchase no more than 10% of the company’s issued share capital for a maximum of seven million ordinary shares on the Stockholm Nasdaq.
The last tranche of the buyback saw 817,700 ordinary shares repurchased between 17 November and 3 December, building on 1.6 million re-acquired in the opening first round between 13 September and 15 October.
As a result of the full buyback programme, Catena now holds 2.3 million of its own shares – equating to 3.1% of the total shares in the Nasdaq-listed betting and gaming media company.
In line with the compliance requirements of the Maltese Companies Act, the scheme will now cease until the holding company has further distributable profit available, and the board of directors will maintain discretion for the execution of further buybacks.
Under Catena’s initial plans for a share buyback back in July, the programme would take place throughout an 18-month period following its extraordinary general meeting (EGM) and before its scheduled 2022 general meeting.
The total number of shares were repurchased by Carnegie Investment Bank on behalf of Catena at a volume-weighted average price of SEK 57.06, for a total consideration of SEK 132.5 million (€12.8m).
As of 6 December, Catetna’s share price on the Nasdaq Stockholm exchange stands at SEK 49.6 million, a slight increase on its share price as of 13 September when the buyback began at SEK 48.5 million.
Catena has further reiterated that new shares will be issued as a result of the warrant exercise period announced following its Q3 interim report – in which the firm’s operating revenue increased by 33% on 2020 results to €33 million, primarily driven by North American operations – which will see the number of issued shares increase from the current standing of 75.5 million to 76.1 million.
North America continues to be a key area of focus for Catena, with the region’s burgeoning sports betting and gaming space helping offset headwinds encountered in Europe and drive Q3 sports betting revenues of €12.5 million and casino income of €20 million.
The company’s strategy on the continent saw an expansion of its regional holdings by a further 100 websites and domains, including i15 Media LLC, bonus.com, gamblingonline.com, Michigansharp.com and NYSportsDay.com.