Vireo Growth Announces Share Buyback Program for Up to 2.4 Million Shares
- Vireo Growth Inc. authorized a share buyback program to repurchase up to approximately 2.43 million subordinate voting shares, starting August 17, through the Canadian Securities Exchange.
- The buyback is part of a disciplined capital strategy reflecting confidence in the company’s growth and belief that the current market valuation undervalues Vireo’s business and long-term potential.
- Haywood Securities Inc. has been selected to conduct the purchases, including during restricted trading periods, with a price cap of $18.75 per share, and all repurchased shares will be canceled.
- Vireo operates cultivation, manufacturing, retail, delivery, distribution, and agricultural supply businesses across 10 states, with over 170 dispensaries nationwide, and the buyback program runs through August 17, 2027, subject to change.
Vireo Growth Inc. announced today that its board of directors has authorized a new share buyback program allowing the cannabis company to repurchase up to approximately 2.43 million subordinate voting shares.
The program will begin August 17 under a normal course issuer bid and will allow Vireo to purchase shares on the open market through the Canadian Securities Exchange. As of August 13, the company had approximately 48.52 million subordinate voting shares outstanding, along with 7,718 multiple voting shares convertible into another 771,800 subordinate voting shares.
“Over the past several months, we have made significant progress executing on our growth strategy,” said Vireo Chief Executive Officer John Mazarakis. “As we work to close these transformative transactions and integrate our expanded operations, we believe initiating this normal course issuer bid represents a prudent and disciplined use of capital.”
Mazarakis said the company believes its current market valuation does not fully reflect the strength of its business or its long-term potential, adding that the buyback demonstrates management’s confidence in Vireo’s outlook.
Vireo has selected Haywood Securities Inc. to conduct the purchases. Under an automatic repurchase plan, Haywood may buy shares during periods when Vireo itself would otherwise be restricted from trading, at prices of up to $18.75 per share.
The number of shares ultimately purchased, along with the timing and price of those purchases, will depend on market conditions, available cash and other business considerations. Any shares repurchased will be canceled.
The buyback authorization runs through August 17, 2027, although Vireo said it is not obligated to repurchase any shares and may suspend, amend or terminate the program.
Vireo currently operates cultivation, manufacturing, retail, delivery, distribution and agricultural supply businesses across 10 states, with more than 170 dispensaries nationwide.