As per a normal course issuer bid, the Canadian mining giant may purchase up to 20 million Class B subordinate voting shares from June 28, 2013, until June 27, 2014, representing approximately 3.53% of its outstanding Class B subordinate voting shares, or 4.39% of the public float, as of June 19, 2013.
Teck said 566.84 million Class B subordinate voting shares were issued and outstanding as of June 19, 2013.
It said it was making the normal course issuer bid because it believed the market price of its Class B shares might not reflect their underlying value and that the share buy-back program could provide value by reducing the number of shares outstanding at attractive prices.
The news comes as Teck's previously approved normal course issuer bid, during the 12-month period starting June 27, 2012, comes to an end. During this time, Teck purchased an aggregate of 10 million Class B subordinate voting shares at a weighted average price of $C29.85 per share. All repurchased shares were cancelled, the company said.
Under TSX rules, Teck may purchase a daily maximum of 526,427 shares, 25% of the current average daily trading volume of 2.1 million shares.
Teck said that the actual number of shares it would purchase and when it would do so, would be determined by the market, adding that all repurchased shares would again be cancelled.