Elliott Notches Win With Suncor as Shares Rise to 16-Year High
- Oil-sands giant announces plan to accelerate share buybacks
- Stock has climbed 33% since activist’s stake was revealed
The Suncor Energy oil refinery in Edmonton, Alberta
Photographer: Jason Franson/BloombergThis article is for subscribers only.
Suncor Energy Inc. shares rose to an almost 16-year high after the oil-sands producer accelerated plans to ramp up share buybacks, marking a win for activist investor Elliott Investment Management LP.
Canada’s second-largest oil producer by market value said it boosted spending on share repurchases to 75% of its free funds flow this quarter. Buybacks will ramp up to essentially all of its free funds when it cuts net debt to C$8 billion ($5.9 billion), discarding its previous target of C$5 billion. Suncor has just under C$9 billion in debt currently.