Cable Bahamas will tomorrow relaunch a share buyback initiative which, during the 12 months to end-June 2025, saw it repurchase $945,691 worth of shares from investors.

The BISX-listed communications provider, is relaunching the buyback for nine months to end-June 2026. It acquired 262,417 of its own stock from shareholders during the prior year’s effort.

“While advancing our $100m fibre-to-the-home roll-out and continuing to modernise our network and services across The Bahamas, we are generating the strong cash flows necessary to reward our shareholders,” said Victor Marcial, Cable Bahamas’ chief financial officer.

“This buyback reflects the Board’s and management’s strong belief in the intrinsic value of Cable Bahamas, our confidence in the company’s future, and our commitment to delivering sustainable, long-term returns.”

Cable Bahamas added that the buyback’s resumption reflects the Board’s and management’s confidence in the long-term growth prospects and financial stability of the company. It also recently re-commenced quarterly dividend payments to ordinary shareholders, which the company said further highlights its commitment to providing a return to its shareholders.

Share buybacks are typically launched by companies who believe their stock price is undervalued given their growth prospects and recent financial performance. In The Bahamas, another factor is the relatively illiquid nature of the BISX market, where there are too few buyers and sellers interacting to produce regular trades.

BISX itself has taken measures to prevent vast, sudden swings in share prices caused by retail investors who are desperate to exit their investments by accepting any price. Share buybacks, such as the initiative renewed by Cable Bahamas, are designed to mop-up small retail investors who are searching for a buyer, thus supporting the stock price and signalling to the market what its true value is.

Cable Bahamas is far from the first BISX-listed company to introduce a share buy back programme. Others include AML Foods, Bank of the Bahamas and Bahamas Waste.