Butterfield Bank has approved a plan to buy back up to three million shares by the end of 2026.

The programme, valued at $140 million, will take effect on January 1, replacing the existing 1.5 million-share programme announced in July.

Michael Collins, the chairman and chief executive, said: “I am pleased to announce Butterfield’s new share repurchase programme for 2026. Our capital management priorities remain focused on supporting a quarterly cash dividend, funding organic growth and financing potential acquisitions. Subject to market conditions, our new share repurchase authorisation provides us with a flexible capital management tool in 2026.”

The timing and amount of any share repurchases will be determined by bank management based on its evaluation of market conditions, Butterfield’s share price and the availability of alternative capital investments. Repurchases may occur in the open market or through privately negotiated transactions, the bank said.

Butterfield has often used share repurchase programmes as a capital-management tool over the past decade.

In 2018, the bank completed a programme authorising the repurchase of one million shares and bought back the full amount at an average price of $40.15 per share.

Later that year, the bank approved a larger authorisation of up to 2.5 million shares through February 29, 2020. By the end of 2019, Butterfield reported repurchasing 0.8 million shares under that programme.

This year, Butterfield resumed active repurchases under a new authorisation of 1.5 million shares. Quarterly disclosures show the bank bought back 1.1 million shares in Q2 and 0.7 million shares in Q3, with further monthly repurchases reported in September and November.