Arion Banki

The latest exercise period for warrants ARIONW24 has now ended, and the Bank has increased the share capital by ISK 6 billion in order to cover the exercising of the warrants. 

With reference to all of the above, the Bank has now decided to make an offer to the Bank’s shareholders to repurchase their shares through a reverse auction for a total market value of up to ISK 5 billion (the Repurchase).

The maximum accepted permitted price for each share in the Repurchase shall not exceed ISK 137 / SEK 10.25, which is the last independent trade price in the trading systems where the shares are traded.

Kvika banki hf. (Kvika) will manage the repurchase of shares in Arion Bank in Iceland, and Carnegie Investment Bank AB (Carnegie) will manage the repurchase of SDRs in Sweden. The Repurchase will be a reverse auction using the Dutch auction method i.e., accepted offers will be offered to investors at the highest accepted price by Arion Bank. All shareholders in Arion Bank registered in the share register at the end of trading today, 28 August 2024, can make an offer to sell their shares (and/or SDRs) to the Bank via Kvika and/or Carnegie. 

In the event that demand during the Repurchase exceeds the maximum repurchase amount according to the above, the Bank will buy pro rata to the shareholdings of the participating shareholders. Arion Bank reserves the right to accept or reject any offer in whole or in part.

Offers for shares in Iceland shall be submitted to Kvika, which will also answer enquiries, by e-mail to midlun@kvika.is with the subject line “Arion Bank - Repurchase” before 6:00 a.m. GMT (8:00 a.m. CET) Thursday 29 August 2024. Those participating who do not have client relationship with Kvika need to complete an application for securities trading at nyskraning.kvika.is and thereafter send the below information to midlun@kvika.is :
-Name
-Social Security Number (kennitala)
-Number of shares offered for sale
-Price per share offered for sale
-where the shares are kept in custody

Offers for SDRs in Sweden shall be submitted to Carnegie, which will also answer enquiries, by e-mail to buyback@carnegie.se with the subject line “Arion Bank - Repurchase” before 6:00 a.m. GMT (8:00 a.m. CET) Thursday 29 August 2024. Offers for SDRs shall at least include the following:
-Name
-Social Security Number (kennitala)
-Number of shares offered for sale
-Price per share offered for sale
-where the shares are kept in custody

The results of the Repurchase will be announced in a regulatory release on Nasdaq Iceland before 7:00 a.m. GMT (9:00 a.m. CET) 29 August 2024. The settlement date of the accepted offers is Monday 2 September 2024.

Reference is made to an announcement by the Bank on 26 August 2024 which stated that the Bank held 57,777,665 shares and SDRs by the end of week 34.

The Repurchase will be carried out in accordance with the applicable law, including the Public Limited Companies Act No. 2/1995 and Regulation No. 596/2014 of the European Parliament and the Council on market abuse (MAR), cf. Measures Against Market Abuse Act No. 60/2021, implementing MAR into Icelandic legislation