February 28th, 2024

Auto parts company Magna International announces share buyback plan

By The Canadian Press on February 13, 2024.

A Magna logo is shown in Milton, Ont. on Saturday, March 24, 2023. Magna International Inc. says it may buy back up to 300,000 of its common shares under its normal course issuer bid over the coming year. THE CANADIAN PRESS/Staff

TORONTO – Magna International Inc. says it may buy back up to 300,000 of its common shares under its normal course issuer bid over the coming year.

The auto parts company says the bid will start on Thursday and will end no later than Feb. 14, 2025.

Magna says it may purchase the shares if it believes that the market price is attractive and that the purchase would be an appropriate use of corporate funds and in its best interests.

It had 286,780,238 issued and outstanding common shares as of Feb. 1.

Under Magna’s buy back plan announced in November 2022, the company bought 245,904 common shares by the time the plan ended on Nov. 14, 2023.

By buying back shares, a company spreads its profits over fewer shares. That increases its earnings per share, a key ratio used to determine a company’s financial health and investment rating.

This report by The Canadian Press was first published Feb. 13, 2024.

Companies in this story: (TSX:MG)

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