Scotiabank may buy back up to 15 million shares

Executive Summary

• Bank of Nova Scotia has received TSX and OSFI approval for a new normal course issuer bid to repurchase up to 15 million common shares, representing approximately 1.2% of its outstanding share base.
• The bank will terminate its existing bid on April 6, 2026, after fully exhausting its allocation of 20 million shares, which were acquired at an average price of $90.47 per share for a total of $1.809 billion.
• The new repurchase program, launching April 7, 2026, is intended to provide capital management flexibility, offset dilution from employee option exercises, and generate shareholder value through open market and alternative acquisition channels.

Key Details

• Approved Repurchase Quantity: Up to 15 million common shares (~1.2% of 1,231,433,660 shares issued and outstanding as of March 24, 2026).
• Existing Bid Termination: Scheduled for April 6, 2026; successfully purchased all 20 million allocated shares at an average price of $90.47/share for a total expenditure of $1,809 million.
• New Bid Duration: Purchases will commence April 7, 2026, and terminate April 6, 2027, or earlier upon completion of the authorized amount.
• Purchase Venues & Mechanisms: Open market transactions via TSX, NYSE, other designated exchanges, and alternative Canadian trading systems; may also include private agreements or purchases under regulatory exemption orders (typically at a discount to prevailing market price).
• Daily Trading Limit: Capped at 1,114,002 shares per day (calculated from a 6-month average daily volume of 4,456,008 shares on the TSX), excluding block purchase exceptions.
• Automatic Repurchase Plan: To be established April 7, 2026, authorizing Scotia Capital Inc. to execute periodic purchases within predefined parameters based on future market conditions.
• Share Treatment & Strategic Rationale: All repurchased shares will be cancelled; the program aims to optimize the bank's capital position, mitigate dilution from options exercises, and enhance shareholder returns.