INX Digital plans to renew its stock repurchase program and token buyback initiative, allowing the company to buy shares and tokens within set limits, starting August 11, 2023.
Key Points
- INX Digital Company plans to renew its stock repurchase program (NCIB) & INX Limited’s token repurchase initiative.
- INX can buy up to 10% of public float shares (~12.7 million) & allocate $5 million for Common Shares & INX Token purchases.
- Purchases through open market transactions, limited to 31,348 Common Shares daily, or 25% of NEO Exchange’s average trading volume.
- Programs start on August 11, 2023; PI Financial Corp. will broker Common Shares repurchase; goals based on specific conditions.
The INX Digital Company, Inc. (NEO: INXD, INXATS: INX, OTCQB: INXDF), a regulated digital asset trading platform owner, has announced its intention to renew its normal course issuer bid (NCIB) program.
The NCIB program allows the company to repurchase its common shares. INX’s subsidiary, INX Limited, also intends to renew its INX Token repurchase program.
Under the NCIB program, INX is permitted to purchase up to 12,713,823 Common Shares, which is approximately 10% of the public float as of July 28, 2023.
The company is authorized to allocate a maximum of US$5 million for the aggregate purchase price of Common Shares and INX Tokens acquired under the token repurchase program.
The purchases under the NCIB may be made through open market transactions on the NEO Exchange and/or Canadian alternative trading systems.
However, daily purchases are limited to 31,348 Common Shares, which is 25% of the average daily trading volume on the NEO Exchange from January 26, 2023, to July 26, 2023. Any Common Shares purchased will be canceled.
$INX Token was the first publicly registered SEC security token to IPO on the blockchain.
Who’s going to be on-chain with them?@Casper_Network tokenizing their equity shares and listing on the @INX_Group platform pic.twitter.com/e7XlX7Rbko
— Dagnum P.I. (@Dagnum_PI) July 31, 2023
INX Limited Token Repurchase Program
INX Limited’s Token Repurchase Program allows the company to repurchase INX Tokens using various methods, including open market purchases, in compliance with U.S. SEC rules and other legal requirements.
The repurchase program does not obligate the company to acquire a specific number of tokens, and it may be suspended or discontinued at INX Limited’s discretion. INX Tokens purchased will be retired.
Timing and Conditions
The purchases under the NCIB and token repurchase program will commence on August 11, 2023, and will end at the earliest of August 10, 2024, or when the aggregate maximum number of Common Shares are purchased, or when the aggregate purchase price reaches US$5 million.
Previously, under its NCIB program that began on March 23, 2022, and expired on March 23, 2023, INX purchased a total of 96,500 Common Shares. However, no INX Tokens were repurchased.
Concluding Thoughts
PI Financial Corp. has been appointed as the broker to conduct the repurchase of Common Shares under the NCIB program. The appointment aligns with the policies of the NEO Exchange.
In conclusion, the INX Digital Company, Inc. has announced the renewal of its normal course issuer bid program and its subsidiary’s INX Token repurchase program.
These programs will allow the company to repurchase its Common Shares and INX Tokens within certain limits and under specific conditions. The company has appointed PI Financial Corp. to act as the broker for the repurchase of Common Shares.
The programs will begin on August 11, 2023, and will continue until specific conditions are met, as outlined by the company.
