TORONTO, Sept. 6,
2024 /CNW/ - CIBC (TSX: CM) (NYSE: CM)
announced today that the Toronto Stock Exchange (TSX) has accepted
notice of CIBC's intention to make a normal course issuer bid
(NCIB). As previously announced on August
29, 2024, CIBC intends to purchase for cancellation up to 20
million common shares under a new NCIB.
TSX approval permits CIBC to purchase for cancellation from time
to time up to 20 million common shares, representing approximately
2.1% of CIBC's 944,972,539 issued and outstanding common shares as
of August 31, 2024. The average
daily trading volume for the six months ended August 31, 2024 and the maximum amount of common
shares that could be purchased each day, calculated pursuant to the
rules of the TSX for the purposes of the NCIB, were 3,979,727 and
994,931 common shares, respectively.
CIBC's purchase of common shares under a NCIB is consistent with
the bank's priority of maintaining balance sheet strength, while
generating shareholder value through a balanced capital deployment
strategy.
Purchases under the bid may commence through the TSX on or after
September 10, 2024 and may also
be made through alternative Canadian trading systems, the NYSE and
by other such means as may be permitted by the Ontario Securities
Commission or other applicable Canadian Securities Administrators.
The bid will be completed upon the earlier of (i) CIBC
purchasing 20 million common shares, (ii) CIBC providing a notice
of termination, or (iii) September 9,
2025. CIBC Capital Markets has been retained to act as
designated broker to repurchase CIBC shares pursuant to the bid.
The price paid for the common shares will be the market price at
the time of the purchase. The common shares purchased under
the NCIB will be cancelled.
CIBC has also entered into an automatic share purchase plan
(ASPP) with CIBC Capital Markets. Under the ASPP, CIBC Capital
Markets may purchase common shares at times when CIBC ordinarily
would not be active in the market due to insider trading rules and
its own internal trading blackout periods. Purchases will be made
by CIBC Capital Markets based upon parameters set by CIBC prior to
the commencement of any such blackout period and in accordance with
the terms of the ASPP. The ASPP has been approved by the TSX.
CIBC's previous normal course issuer bid for the purchase
of up to 20 million common shares commenced on December 13, 2021 and expired on December 12, 2022. Over the term of the previous
bid, CIBC purchased 1.8 million of its common shares for
cancellation at an average price of $74.43 per share.
A NOTE ABOUT FORWARD-LOOKING STATEMENTS: From time to time, we
make written or oral forward-looking statements within the meaning
of certain securities laws, including in this press release, in
other filings with Canadian securities regulators or the U.S.
Securities and Exchange Commission and in other communications.
These statements include, but are not limited to, statements about
our potential normal course issuer bid purchases and about our
financial condition, priorities, targets, ongoing objectives,
strategies and outlook. Forward-looking statements are subject to
inherent risks and uncertainties that may be general or specific. A
variety of factors, many of which are beyond our control, could
cause actual results to differ materially from the expectations
expressed in any of our forward-looking statements, including
general business and economic conditions worldwide; amendments to,
and interpretations of, risk-based capital guidelines; and changes
in monetary and economic policy. We do not undertake to update any
forward-looking statement except as required by law.
About CIBC
CIBC is a leading North American financial institution with 14
million personal banking, business, public sector and institutional
clients. Across Personal and Business Banking, Commercial Banking
and Wealth Management, and Capital Markets, CIBC offers a full
range of advice, solutions and services through its leading digital
banking network, and locations across Canada, in the
United States and around the world. Ongoing news releases and
more information about CIBC can be found
at www.cibc.com/ca/media-centre.
SOURCE CIBC