7th Jun 2012 13:13
OAO NOVATEK ANNOUNCES SHARE BUY BACK PROGRAM
Moscow, 7 June 2012. OAO NOVATEK ("NOVATEK" or the "Company") announces today that on 7 June, 2012 the Company's Board of Directors unanimously approved a buyback program in respect of ordinary shares of NOVATEK (the "Shares) and/or Global Depositary Receipts representing Shares (each GDR representing 10 Shares) (the "Program") in the aggregate amount of up to 600 million US dollars. The purchases of Shares and /or GDRs may be executed during a twelve-month period starting today.
The Program has been designed in full compliance with applicable legal requirements following a review of best market practices for similar transactions. All purchases of Shares and/or GDRs will be made for the account of Novatek Equity (Cyprus) Limited, an indirect wholly owned subsidiary of the Company (the "Purchaser"). The Purchaser has engaged a company within Sberbank group which will act as an independent broker to execute any purchases pursuant to the Program. Any Shares and GDRs acquired pursuant to the Program may be used for purposes of financing the Company's operations or utilized in the Company's previously announced compensation and incentive program for management and key employees. Acquired Shares and GDRs will retain all rights, including right to receive dividends.
The Company's CFO and Board member Mark Gyetvay commented: "The decision taken to implement a share buyback program reflects the confidence of the Board of Directors in the fundamental value of its Shares and GDRs. In implementing the share buyback program, NOVATEK undertakes a balanced approach to the allocation of funds ensuring the development of the Company's core exploration and development activities as well as maximizing the return of capital to shareholders, while maintaining a stable and prudent capital structure."
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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, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. The Company's 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 84% 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. The Company's shares are listed in Russia on MICEX-RTS Stock Exchange and the London Stock Exchange (LSE) under the ticker symbol "NVTK" and on the NASDAQ PORTAL System as Rule 144A GDR under the ticker symbol "NVATY".
Copyright Business Wire 2012
Related Shares:
NVTK.L