Calgary, AB – January 28, 2026 – Canadian Pacific Kansas City (CPKC) has received approval from the Toronto Stock Exchange (TSX) to proceed with an early renewal of its normal course issuer bid (NCIB). This strategic move underscores the company’s confidence in its financial health and its commitment to enhancing shareholder value through disciplined capital allocation.
Under the new 2026 NCIB program, CPKC is authorized to repurchase up to 82,214,163 common shares. This figure represents approximately 9% of the company’s public float, adjusted for the 37,348,539 shares already repurchased under the preceding 2025 NCIB. The net new purchases will be capped at 44,865,624 shares, or about 5% of the issued and outstanding shares as of January 19, 2026. The program is slated to commence on February 2, 2026, and is scheduled to conclude on February 1, 2027, unless terminated earlier at CPKC’s discretion.
“Our robust free cash flow generation, a strong growth pipeline, and a proven track record of operational excellence provide a solid foundation for this new share repurchase program,” stated Keith Creel, President and CEO of CPKC. “We are steadfast in our dedication to generating long-term shareholder value through prudent and opportunistic capital deployment.”
CPKC has concluded its existing normal course issuer bid, which began on March 3, 2025. Under this 2025 NCIB, the company successfully repurchased and cancelled all 37,348,539 authorized common shares at a weighted average price of $105.53 per share. These repurchased shares will be accounted for against the annual limit of the 2026 NCIB, in accordance with TSX regulations.
Purchases under the 2026 NCIB can be executed through various channels, including the facilities of the TSX, the New York Stock Exchange (NYSE), and alternative trading systems in Canada and the U.S. These transactions may occur via open market purchases or other permissible methods, such as automatic purchase programs or private agreements, subject to applicable securities laws and regulatory approvals. The purchase price will generally align with the prevailing market price, though purchases made under exemption orders may be at a discount. All shares repurchased will be cancelled.
To maintain market stability, CPKC will adhere to daily trading volume limitations. On the TSX, daily acquisitions will not exceed 25% of the average daily trading volume over the six months prior to the 2025 NCIB’s commencement. Similarly, on the NYSE, daily purchases will be capped at 25% of the average daily trading volume for the four weeks preceding the purchase date, with exceptions for block trades.
To facilitate share repurchases during internal blackout periods, CPKC intends to establish an automatic purchase plan (APP) with its designated broker. Under this plan, the broker will execute trades based on pre-defined parameters set by CPKC, ensuring continued repurchase activity while adhering to compliance requirements. The APP is expected to be implemented concurrently with the commencement of the 2026 NCIB and will comply with both Canadian and U.S. securities regulations, including Rule 10b-5 of the Securities Exchange Act of 1934.
The specific number of shares to be repurchased and the timing of these transactions will be determined by CPKC’s management, subject to the aforementioned regulatory limits. The company acknowledges that there can be no certainty regarding the exact volume of shares that will ultimately be acquired.
CPKC views the repurchase of its shares as an effective and advantageous utilization of its capital resources, reflecting its commitment to maximizing shareholder returns.
**Forward-Looking Statements**
This release contains forward-looking statements within the meaning of applicable securities laws in the U.S. and Canada. These statements, which may include terms like “anticipate,” “believe,” “expect,” “project,” “estimate,” and “plan,” concern future events, conditions, and results. They are based on current expectations, estimates, projections, and assumptions regarding various factors, including economic conditions, commodity prices, regulatory policies, and operational performance.
However, inherent risks and uncertainties could cause actual results to differ materially from those projected. These risks include, but are not limited to, economic and industry fluctuations, competitive pressures, regulatory changes, commodity price volatility, labor issues, and the successful integration of acquired entities. Investors are advised to consult CPKC’s filings with securities regulators for a detailed discussion of these risks. CPKC undertakes no obligation to update these forward-looking statements.
**About CPKC**
Headquartered in Calgary, Alberta, Canadian Pacific Kansas City (CPKC) operates the first and only single-line transnational railway connecting Canada, the United States, and Mexico. Its extensive network spans approximately 20,000 route miles, providing customers with unparalleled access to key North American markets and ports. CPKC is dedicated to growing with its customers by offering comprehensive freight transportation services, logistics solutions, and supply chain expertise. Further information is available at cpkcr.com.
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