Pan African Resources launches buyback of undervalued shares

GOLD miner Pan African Resources will be implementing a share buyback from Tuesday, 1 July, because it believes its shares still offer value and it wishes to return capital to its shareholders, it said.The company’s current share price, at R11 on the JSE, recently came off an all-time high of R12.64, and it has gained almost 80% over the past year. It has been boosted partly by a surge in the gold price to above $3 400/oz in April as well as its own rising output as new projects come on line.However, CEO Cobus Loots said the shares offer significant value, given “the quality and profitability” of Pan African’s existing operations and growth projects. He said at end-June the company expected to have cut its net debt by US$72 million or 32% compared with end-December and it should be fully de-geared in its 2026 financial year.“From this position of strength, we feel it is appropriate to return additional capital to our shareholders and this buyback programme recognizes both the significant value in the shares as well as the positive outlook for the business.”Up to R200 million will be spent on buying back the shares in London and Johannesburg. Shareholders have approved the purchase of up to 144.4 million shares. Pan African said the shares would be purchased at a price excluding expenses that did not exceed the last independent trade or the highest current independent bid on the LSE or JSE.The post Pan African Resources launches buyback of undervalued shares appeared first on Miningmx.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com