17th Mar 2014 08:30
NOVATEK RESUMES SHARE BUYBACK PROGRAM
Moscow, 17 March 2014. OAO NOVATEK (“NOVATEK” and/or the “Company”) announces today that pursuant to the Company’s buyback program originally announced on 7 June 2012 and subsequently extended, during the period from 11 through 14 March 2014, 2 476 250 ordinary shares (including in a form of Global Depositary Receipts) were purchased on the open market.
According to NOVATEK’s Chairman of the Management Board, Leonid V. Mikhelson, “We have resumed our share buyback program by purchasing our shares on the open market as the current share price significantly diverges from the intrinsic value of the Company. We continue to deliver significant shareholder value through the successful execution of our corporate strategy and the timely delivery of our core projects. The recent sell-off is not linked to the strong underlying fundamentals of the Company, nor does it properly reflect, in our opinion, the growth of our hydrocarbon output and the free cash flow generation of our business. Therefore, we felt is was prudent to resume our share buyback program to support our share price and market value, and provide our firm commitment to deliver the enormous growth potential of NOVATEK”.
Note
On 7 June, 2012, the Company’s Board of Directors approved a one-year buyback program in respect of ordinary shares of NOVATEK and/or Global Depositary Receipts representing Shares (each GDR representing 10 Shares) in the aggregate amount of up to 600 million US dollars. On 30 May, 2013, the buyback program was extended until 7 June, 2014, by a decision of the Management Board.
As of 17 March 2014, 9.3 million ordinary shares (including in a form of Global Depositary Receipts) have been purchased on the open market as part of the program implementation.
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For further information, please visit www.novatek.ru or contact:
| Press Service+7 (495) 721 2207[email protected]
| Investor Relations+7 (495) 730 6013[email protected] | |||
OAO NOVATEK is Russia’s largest independent gas producer and the second-largest natural gas producer in Russia. Founded in 1994, NOVATEK is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. Its upstream activities are concentrated in the prolific Yamal-Nenets Autonomous Region, which is the world's largest natural gas producing area and accounts for approximately 90% of Russia's natural gas production and approximately 17% of the world’s gas production. NOVATEK is an open joint stock company established under the laws of the Russian Federation. NOVATEK’s shares and GDRs are listed on MICEX-RTS Stock Exchange in Russia and the London Stock Exchange (LSE), respectively, under the ticker symbol “NVTK”.
Copyright Business Wire 2014
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