VERSABANK RECEIVES TSX APPROVAL FOR RENEWAL OF NORMAL COURSE ISSUER BID

Rhea-AI Summary

VersaBank (TSX: VBNK) received TSX approval to renew a Normal Course Issuer Bid (NCIB) allowing purchases of up to 2,000,000 common shares for cancellation (about 9.14% of public float based on a 21,876,251 public float as of April 16, 2026).

Daily purchases will be limited to 25% of ADTV (6,627 shares based on a six‑month ADTV of 26,510). Purchases may run from April 30, 2026 to April 29, 2027 on the TSX and Nasdaq; prior NCIB purchases totaled 573,251 shares at a VWAP of US$11.49.

Positive

• NCIB authorizes repurchase of 2,000,000 shares (≈9.14% public float)
• All repurchased shares will be cancelled, reducing outstanding share count
• Previous NCIB bought 573,251 shares at a VWAP of US$11.49

Negative

• Daily cap of 6,627 shares (25% ADTV) may limit repurchase pace

News Market Reaction – VBNK

-0.11%

-0.11% Session close to close

In the Apr 28 session, VBNK declined 0.11%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement highlights TSX approval for renewing VersaBank’s NCIB, allowing repurchases of up ...

Analysis

This announcement highlights TSX approval for renewing VersaBank’s NCIB, allowing repurchases of up to 2,000,000 shares, about 9.14% of its 21,876,251-share public float, between April 30, 2026 and April 29, 2027. The move follows recent progress in digital assets, strong shareholder support at the 2026 meeting, and solid Q1 results. Key aspects to watch include actual buyback execution versus authorization and how this capital allocation interacts with ongoing growth initiatives.

Key Figures

NCIB capacity: 2,000,000 common shares Float percentage: 9.14% Public float: 21,876,251 shares +5 more

8 metrics

NCIB capacity 2,000,000 common shares Maximum purchases for cancellation under renewed NCIB

Float percentage 9.14% NCIB capacity as a share of public float

Public float 21,876,251 shares Public float as of April 16, 2026

Shares outstanding 32,167,347 shares Total issued and outstanding common shares

ADTV 26,510 shares Average daily trading volume on TSX, Oct 1, 2025–Mar 31, 2026

Daily NCIB limit 6,627 shares 25% of ADTV daily purchase cap, excluding block purchases

Prior NCIB bought 573,251 shares Shares repurchased in prior 12 months under previous NCIB

Prior NCIB VWAP US$11.49 per share Volume weighted average price paid under previous NCIB

Historical Context

5 past events · Latest: Apr 20 (Positive)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Apr 20	Digital asset update	Positive	+9.9%	Start of QCAD deposit flows under stablecoin custody agreement with Stablecorp.
Apr 09	Shareholder meeting results	Positive	+9.9%	All director nominees elected with very strong support and key items approved.
Mar 25	Meeting logistics	Neutral	+0.9%	Announcement of timing and format of 2026 Annual and Special Meeting.
Mar 24	Branch sale	Positive	+1.2%	Agreement to sell only U.S. retail branch to support branchless digital model.
Mar 17	RBTD enhancements	Positive	-1.1%	Launch of FX and other upgrades to support Real Bank Tokenized Deposits™.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent news has often coincided with positive price reactions, especially around digital assets and corporate events, with only one notable divergence.

Recent Company History

This announcement follows a series of developments that emphasize VersaBank’s digital strategy and corporate housekeeping. In March–April 2026, the bank advanced its Real Bank Tokenized Deposits™ and QCAD custody initiatives, reported strong support at the 2026 shareholder meeting, and moved to sell its only U.S. retail branch to reinforce its branchless model. These items, along with solid Q1 fiscal 2026 results, frame the NCIB renewal as another capital management step alongside ongoing digital growth initiatives.

Key Terms

normal course issuer bid, public float, average daily trading volume, block purchase, +1 more

5 terms

normal course issuer bid regulatory

"received approval from the Toronto Stock Exchange ("TSX") to renew its Normal Course Issuer Bid"

A Normal Course Issuer Bid is when a company buys back its own shares from the stock market over time. This usually shows that the company believes its stock is undervalued and wants to support its price, which can be important for investors to watch.

public float financial

"representing approximately 9.14% of its public float. As of April 16, 2026 the public float"

Public float is the total number of a company's shares that are available for trading by the general public. It excludes shares held by company insiders or large stakeholders who are unlikely to sell them easily. This figure helps investors understand how much of the company's stock is actively available, which can influence its liquidity and how easily its price might change.

average daily trading volume market

"The average daily trading volume ("ADTV") of VersaBank's Common Shares on the TSX"

The average daily trading volume is the typical number of shares or units of a security that change hands each trading day, calculated over a set period. It tells investors how active a market is—like average traffic on a road—so higher volume usually means easier, faster trades and smaller price swings when buying or selling, while low volume can make orders harder to fill and cause bigger price moves.

block purchase financial

"Daily purchases under the NCIB will be limited to 25% of the ADTV, which is 6,627 common shares, other than block purchase exceptions."

A block purchase is when a large quantity of a stock or asset is bought or sold all at once, rather than through many smaller trades. This kind of transaction can signal significant interest or intent from investors, often influencing the market’s perception of value or stability. It matters to investors because it can indicate potential changes in supply, demand, or market trends.

volume weighted average price market

"for a volume weighted average price of US$11.49 per common share."

The volume weighted average price (VWAP) is a way to measure the average price of a security, such as a stock, over a specific period, taking into account how many units were traded at each price. It’s similar to calculating the average cost of items bought when some are more frequently purchased than others. Investors use VWAP to assess whether a security is being bought or sold at a fair price during trading.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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LONDON, ON, April 28, 2026 /PRNewswire/ - VersaBank ("VersaBank" or the "Bank") (TSX: VBNK) (NASDAQ: VBNK), today announced it has received approval from the Toronto Stock Exchange ("TSX") to renew its Normal Course Issuer Bid ("NCIB") for its common shares.

"The last year has been demonstrative of the strong demand for our Structured Receivable Program in the United States, providing us with tremendous confidence in the ability of our branchless, cloud-based, digital banking model to drive efficiency and return on common equity to levels that are unmatched in our industry as our credit asset portfolio continues to grow," said David Taylor, President, VersaBank.  "While our success is being increasingly reflected in our share price, we continue to believe that, as a high growth bank with a very risk-mitigated model, our stock is undervalued, especially in light of the significant additional opportunities for our Real Bank Tokenized Deposit™ (RBTD™) and stablecoin custody strategies, as well as the potential to realize additional value through our planned realignment to a standard U.S. bank framework¹, which among other benefits, is expected to enable the Bank's eligibility for the Russell 2000 index.  The renewal of our NCIB provides flexibility to allocate capital prudently, particularly during periods of market volatility."

Pursuant to the NCIB, VersaBank may purchase for cancellation up to 2,000,000 of its common shares representing approximately 9.14% of its public float. As of April 16, 2026 the public float is comprised of 21,876,251 common shares and there were 32,167,347 issued and outstanding Common Shares in total. The average daily trading volume ("ADTV") of VersaBank's Common Shares on the TSX for the six months of October 1, 2025 through March 31, 2026 (the "Preceding Six Month Period") was 26,510 shares. Daily purchases under the NCIB will be limited to 25% of the ADTV, which is 6,627 common shares, other than block purchase exceptions. During the Preceding Six-Month Period, 11,929,689 VersaBank common shares were traded on all exchanges.  Of that total, 3,313,798 shares were traded on the TSX and the remaining 8,615,891 shares were traded on other exchanges including the Nasdaq. Under the previous NCIB, approval was sought to purchase 2,000,000 common shares.  573,251 common shares were purchased during the previous 12 month period by VersaBank's broker on available Canadian and US exchanges for a volume weighted average price of US$11.49 per common share.

The purchases may commence on April 30, 2026 and will terminate on April 29, 2027, or such earlier date as VersaBank may complete its purchases pursuant to the NCIB. The purchases will be made by VersaBank through the facilities of the TSX and the Nasdaq and in accordance with the rules of the TSX or the Nasdaq, as applicable, and the prices that VersaBank will pay for any Common Shares will be the market price of such shares at the time of acquisition. VersaBank will make no purchases of Common Shares other than open market purchases. All shares purchased under the NCIB will be cancelled.

_________________________

1 Subject to applicable regulatory and shareholder approvals.

ABOUT VERSABANK

VersaBank is a North American bank with a difference.  Federally chartered in both Canada and the U.S., VersaBank has a branchless, digital, business-to-business model based on its proprietary state-of-the-art technology that enables it to profitably address underserved segments of the banking industry in a significantly risk mitigated manner. Because VersaBank obtains substantially all of its deposits and undertakes the majority of its funding activities electronically through financial intermediary partners, it benefits from significant operating leverage that drives efficiency and return on common equity.  In August 2024, VersaBank launched its unique Structured Receivable Program funding solution for point-of-sale finance companies, which has been highly successful in Canada for over 15 years, to the underserved multi-trillion-dollar U.S. market.  VersaBank also owns Minnesota-based DRT Cyber Inc., a North American leader in the provision of cyber security services to address the rapidly growing volume of cyber threats challenging financial institutions, multi-national corporations and government entities.  Through DRT Cyber Inc., VersaBank owns proprietary intellectual property and technology to enable the next generation of digital assets for the banking and financial community, including the Bank's revolutionary and proprietary Real Bank Tokenized Deposits^TM.

VersaBank's common shares trade on the Toronto Stock Exchange and NASDAQ under the symbol VBNK.

Visit our website at:  www.versabank.com

Follow VersaBank on Facebook, Instagram, LinkedIn and X

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SOURCE VersaBank

FAQ

What does the VersaBank (VBNK) NCIB authorize and how many shares can be repurchased?

It authorizes repurchases of up to 2,000,000 common shares for cancellation, representing about 9.14% of public float. According to the company, the public float was 21,876,251 shares as of April 16, 2026.

When will VersaBank (VBNK) begin and end purchases under the renewed NCIB?

Purchases may commence on April 30, 2026 and terminate on April 29, 2027, unless completed earlier. According to the company, all purchases will be made in open market transactions on TSX and Nasdaq.

What daily limit applies to VBNK share repurchases under the NCIB?

Daily purchases are limited to 25% of ADTV, equal to 6,627 shares based on a six‑month ADTV of 26,510. According to the company, block purchase exceptions may apply.

How many VersaBank (VBNK) shares were bought under the previous NCIB and at what price?

Under the previous NCIB, 573,251 common shares were purchased during the prior 12 months at a volume‑weighted average price of US$11.49, according to the company.

Will VersaBank (VBNK) cancel shares repurchased under the NCIB and where will purchases occur?

Yes. According to the company, all shares bought under the NCIB will be cancelled. Purchases will occur via open market transactions on the TSX and Nasdaq at prevailing market prices.