SNDL’s board gave the Canadian cannabis and alcohol company the green light to repurchase up to 100 million Canadian dollars ($70.9 million) of its outstanding common shares.
The share-repurchase program authorizes the Calgary, Alberta-headquartered company to repurchase a maximum of 13.2 shares, or about 5% of the issued and outstanding shares, according to a Thursday news release.
The repurchased shares will be returned to treasury for cancellation.
The program will renew on Nov. 20, with the expiration of its current share-repurchase program, the released noted.
SNDL will pay the market price for any shares it repurchases on the open market.
Under its current repurchase program, which began on Nov. 21, 2023, SNDL was authorized to buy up to CA$100 million or 13.1 million shares.
According to the release, as of Nov. 14, the company had repurchased 727,829 shares for cancellation at a weighted average price of about $1.97 (CA$2.77) per share.
SNDL, which trades as SNDL on the Nasdaq exchange, reported third-quarter revenue of $236.9 million, a dip of 0.3% compared to the same quarter last year.
But the company’s gross profit reached $63 million, marking a record gross margin of 26.6%, up from 20.5% from a year ago.
SNDL has made several acquisitions in 2024, including the purchase of Indiva, an Ontario-based edibles producer, and the remaining shares of Alberta-headquartered Nova Cannabis.
