Stingray to buy back $15.4 million of shares

Stingray Group Inc. announced a share buyback valued at $15.4 million, targeting one million subordinate voting shares held by La Caisse.

Details of the transaction

The company entered a private agreement with CDP Investissements inc., a subsidiary of La Caisse, to repurchase the shares at $15.40 per share. The price reflects a 5.1 % discount to the Toronto Stock Exchange closing price on June 18, 2026. Funding will come from Stingray’s cash reserves.

At the same time, La Caisse will sell 2.3 million subordinate voting shares, representing roughly 4.2 % of the company’s outstanding shares, to a block‑trade buyer led by Financière Banque Nationale and Desjardins Marché des capitaux. The dual actions stem from La Caisse’s periodic portfolio rebalancing.

Impact on ownership and capital structure

Following the buyback, La Caisse will retain close to 10 % of Stingray’s voting shares, maintaining its status as a significant shareholder. Stingray’s chief executive, Eric Boyko, said the repurchase aligns with the company’s “ongoing commitment to active capital management and shareholder value.” He added that the firm’s “healthy balance sheet and solid financial position” enable the transaction without affecting debt‑reduction targets.

Kim Thomassin, senior vice‑president and head of Quebec at La Caisse, noted that the deal allows the institution to monetize part of its stake while staying “a key partner in the success and future innovations of this Montreal‑based company.” She indicated that the proceeds could be reinvested in other Quebec enterprises to spur growth.

Regulatory approval was secured through an exemption from the Autorité des marchés financiers, freeing Stingray from the usual public‑offer rules that apply to share repurchases. The exemption also means the buyback will not count toward the company’s annual maximum limit for public offers.

Information on the transaction, including the exact number of shares and total purchase price, will be posted on SEDAR+ after completion. Stingray does not plan to issue a separate press release announcing the buyback’s finalization.

In a broader sense, share buybacks like this one serve as a tool for companies to adjust capital structure, return excess cash to investors, and potentially support share price stability. The practice is common among publicly traded firms with strong balance sheets, especially when market valuations appear favorable for repurchasing stock at a discount.

Overall, the transaction reflects a coordinated effort between Stingray and one of its long‑standing investors to fine‑tune ownership levels while preserving financial flexibility for future projects.