Unity Mining today announced a share buyback as part of a capital management plan. Over the next 12 months, the Company intends to conduct an on-market buyback of up to 50.9 million ordinary shares*. Commenting on the initiative, Managing Director & CEO, Andrew McIlwain said ”Unity’s share price is currently trading at a level which we believe undervalues the company’s assets and growth potential of our Tasmanian and West African exploration projects. The Board of Unity Mining is committed to actively managing the Company's capital and believes that the buyback provides the opportunity to repurchase shares at attractive valuations and consolidate the Company’s capital base for the benefit of shareholders. “With positive cashflow from our Henty Gold Mine, no debt and a significant cash position, the buyback will further enhance Unity’s strong position to pursue the growth opportunities which are a key focus this year” said Mr McIlwain. The Board will continue to assess the merits of this capital management initiative as market conditions evolve and will keep the market informed of the buyback’s progress. The earliest date the buyback will commence is 1 March 2012. Unity has appointed E.L. & C. Baillieu Stockbroking Ltd (Baillieu) to act on behalf of the Company in relation to the share buyback process. During the Company’s share trading blackout periods (as defined in the Company’s Securities Trading Policy), Baillieu will be provided with a mandate with predetermined parameters to buy back shares on the Company's behalf. Additionally, the Company’s directors will be precluded from trading in the Company’s shares whilst the buyback program is in operation. An Appendix 3C in relation to the buyback is attached.
UML Price at posting:
11.5¢ Sentiment: Buy Disclosure: Held