Kinaxis to double size of NCIB

Executive Summary

• Kinaxis Inc. intends to amend its Normal Course Issuer Bid (NCIB) to increase the maximum number of common shares it may repurchase from 5% of issued and outstanding shares to 10% of its public float, reaching the maximum allowable limit under Toronto Stock Exchange (TSX) rules.
• The company has already invested $54 million (U.S.) under its current NCIB, with 447,738 shares repurchased for cancellation at an average price of $167.50 per share.
• CEO Razat Gaurav stated that the expansion aims to capitalize on perceived undervaluation driven by market misunderstandings regarding the impact of generative AI on enterprise software, citing the company's strong competitive moat and the capabilities of its Maestro platform.

Key Details

• NCIB Amendment: Increase in repurchase authorization from 1,403,042 shares (5% of issued/outstanding as of Oct. 31, 2025) to approximately 2,799,843 shares (10% of public float as of Oct. 31, 2025).
• Financial Impact: Current investment of $54 million (U.S.); estimated additional investment of approximately $284 million (U.S.) to repurchase the full 10% at the average price paid to date.
• Current Repurchase Activity: As of Feb. 3, 2026, Kinaxis repurchased an aggregate of 447,738 shares for cancellation.
• Average Price: The average price paid for shares repurchased to date is $167.50 per share.
• Timeline: The current NCIB commenced on Nov. 12, 2025, and is scheduled to end on Nov. 11, 2026, or earlier upon completion of purchases or termination notice.
• Conditions: The amendment is subject to market conditions, receipt of required approvals (including TSX approval), and will occur after the company exits its existing regularly scheduled blackout period.
• Management Stance: CEO Razat Gaurav emphasized that the company's "Maestro platform" leverages advanced machine learning, optimization, and heuristics, arguing that GenAI and agentic AI enhance rather than replace these capabilities, creating a "substantial moat" in supply chain planning.

Notable Quotes

• "There is a fundamental misunderstanding of the opportunities and threats from generative and agentic AI to mission-critical enterprise software, like ours, that solves deeply complex problems and enables highly consequential decisions. As a result, the public markets may not be fully reflecting the underlying value of Kinaxis from time to time. We see value to shareholders in maximizing our ability to buy back shares under the NCIB structure or other structures that may also be available to Kinaxis," said Razat Gaurav, chief executive officer of Kinaxis.