NEWS: Goldmoney Inc. Announces Normal Course Issuer Bid

in #news7 years ago (edited)

I know some Steemians are either current shareholders of Goldmoney stock (XAU, XAUMF) or might be thinking of becoming shareholders, so I wanted to post this share repurchase program announcement.

For those that don’t know, a share buy back is where the company buys back a portion of its own shares, and then cancels them.

This shrinks the number of total outstanding shares and makes YOUR piece of the pie larger.

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Read the press release here:

https://www.goldmoney.com/corporate/news/goldmoney-inc-announces-normal-course-issuer-bid-2

When a company does not have to borrow money to do this, but instead uses cash on hand, this can be a great thing for shareholders because shareholders know that the company:

  1. Believes its own shares are severely undervalued

  2. Is willing to put its money where its mouth is and step in and buy the shares

  3. May provide a floor to the stock because everyone knows that the company will be stepping in if it gets low.

  4. Actually shrinks the “float” of the outstanding shares, therefore increasing the size every everyone’s piece of the pie.

This is not any sort of recommendation to buy Goldmoney or any other stock, but merely a public service announcement for those who were unaware of what a share buy back is, or hadn’t heard of the news just released about Goldmoney’s NCIB.

Thanks for reading everyone!

Goldmatters

For Menē 24k investment jewelry here: http://Mene.com/invite/JrT26p

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To find out more about what Menē 24 karat gold and platinum investment jewelry is from your fellow Steemians :
https://steemit.com/steemit/@goldmatters/what-in-the-world-is-mene24k-35-well-researched-blog-style-essays-contest-winners
Or
https://steemit.com/mene24k/@goldmatters/what-is-mene-24-karat-platinum-and-gold-jewelry-valentine-s-day-gift-winner

To find out more about what Goldmoney is from your fellow Steemians : https://steemit.com/contest/@goldmatters/what-in-the-world-s-goldmoney-winners

To sign up for a Goldmoney Holding start here: https://www.goldmoney.com/w/goldmatters

For Menē 24k investment jewelry here: http://Mene.com/invite/JrT26p

I am on a personal mission to spread the word about Goldmoney and Menē through any means necessary. Goldmoney allows individuals to empower themselves by protecting their savings by owning small or large amounts gold previously inaccessible to regular people like you and me.

Read more about Goldmoney: https://steemit.com/@goldmatters

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Share Buyback with Cash! This is incredibly bullish! You hardly ever see this anymore. Most of the time they are buying back with debt!

Finally someone as excited as i am about this lol

The stock has taken quite a hit the last few months also! An even better time to back up the truck!!

Management must think its undervalued :)

Gold money still do not allow potential buyers in certain countries to have an account. So sad.

Would you invest if this was not the case?

Goldmoney making moves and increasing that share price 👍

I love investing in companies where you know the top brass is standing shoulder to shoulder with you wading in to buy back shares :)

I am on a personal mission to spread the word about Goldmoney and Menē through any means necessary. Goldmoney allows individuals to empower themselves by protecting their savings by owning small or large amounts gold previously inaccessible to regular people like you and me.

Amazing post thank so much @goldmatters for sharing us this kind of post, it is a wonderful awareness given to us on here... Wishing you the best on the mission...@goldmoney and #mene

Two key ways that public companies reward their shareholders is through dividends and share repurchases. Goldmoney rewarded its shareholders through Share repurchases.

Normal Course Issuer Bid is an excellent way for goldmoney management to express its confidence in the company’s future growth potential and, in some situations, to signify that it feels its shares are undervalued on the public market.
By instituting a share repurchase plan, each remaining share will become more valuable. However, neither dividends nor share repurchases would be options for a public company without cash.

"When a company does not have to borrow money to do this, but instead uses cash on hand,..."
The popular saying "Cash is king”. With cash at hand, goldmoney can't even be forced into bankruptcy and they can invest in new infrastructure. A favourable business’s cash flow is often cited as a key factor in its potential for long-term success.
Moreover, in economic times of volatility, the likelihood of such losses rises substantially. Thus, while investing should be a part of your long-term financial plan, don’t underestimate the stability and value offered by cash.

@goldmatters, the idea behind Normal Course Issuer Bid is making mad sense.

For sure! For fun trivia, do you know how much cash Goldmoney has @kandies? :)

good post I like the program from steemit @dtube

Thanks for reading

Thanks for giving the chance to enjoy this beautiful news!!

You are welcome

thank you @goldmatters, have shared a very interesting news.

Great information for our consumption
Thanks for taking your time to share this opportunity... I think I ve to spare more of my time to understanding this for a better me... Thanks again @goldmatters

Thanks for reading

Definitely goldmoney taste great :). Regards

Great news!

Yes indeed!