Western Financial maintains stock buyback strategy

Financial services group and broker network consolidator Western Financial Group Inc. (TSX: WES) has gained regulatory approval from the Toronto Stock Exchange (TSE) to repurchase the equivalent of up to 5% of both its common issued shares as well as issued loan stock in the form of 9%-bearing convertible debentures. The paper in question will be cancelled, a company statement says.Western Financial plans on acquiring just over 1.5 million of its common shares from a current total issued pool of about 30.6 million shares. It also has the green light to buy back $548,715 in aggregate of its issued 9%-bearing convertible unsecured subordinated debentures, which represents approximately 5% of the total $10.9 million of this particular loan paper issued to date. "Western believes that, from time to time, the repurchase of its common shares and 9% debentures represents an appropriate use of its funds. Western has purchased 129,600 of its common shares in the past 12 months at an average price of $2.57 per share," a company statement notes.