The board of Wisconsin brewer Bootie Beer Corporation has announced a share repurchase programme which could see the company buy back up to 2m shares of its common stock.

The company, which produces the Bootie Beer and Bootie Light brands, said yesterday (16 November) that it will repurchase securities on the Over-the-Counter Bulletin Board market, in compliance with Rule 10b-18 under the Securities Exchange Act of 1934. Bootie Beer said it reserves quantity and purchase discretion, and the total purchase will not exceed 2m shares.

The brewer said it expects to fund the share repurchase programme principally from proceeds from a recent convertible debt transaction with fund manager NIR Group.

"This stock repurchase programme demonstrates our confidence in the long-term outlook of the company," said company CEO Tania Torruella. "We believe our shares are mispriced by the market and the best investment we can make with the NIR proceeds is in our own stock. The repurchase programme is strategically beneficial for our shareholders, and shareholders' equity."