Aimia buying back 34.9 million shares at $4.30 per share

MONTREAL — Aimia Inc. says it will buy back 22.9 per cent of its outstanding shares at a price of $4.30 each under a plan announced last month.

The loyalty rewards company says it will buy back roughly 34.9 million shares, reducing its issued and outstanding shares to about 117.4 million.

article continues below

Aimia said last month it would spend up to $150 million to buy back stock under a "modified Dutch auction."

By buying back its shares, a company spreads its profits over fewer shares. That increases its return on equity and earnings per share, two key ratios used to determine a company's financial health.

The company says shares tendered to the offer but not repurchased will be returned to shareholders.

Aimia sold its Aeroplan loyalty program earlier this year to Air Canada.

Companies in this story: (TSX:AIM)

© Copyright Flin Flon Reminder

MMIWG inquiry POLL

How do you feel about the recently released report on missing and murdered Indigenous women and girls?

or  view results

Popular Reminder

Community Event Calendar

Find out what's happening in your community and submit your own local events.