Two small banks unveil buybacks of up to 5% of their shares

what happened

Heritage Financial said on Thursday that its board signed off on a fresh buyback plan covering up to 5% of its common shares in circulation, roughly 2 million shares, according to Seeking Alpha. The bank said how many shares it buys, when and at what price will hinge on business conditions, market dynamics and other considerations. The new plan takes the place of an earlier one approved in April 2024.

Community Heritage Financial, the holding company of Middletown Valley Bank (OTC: CMHF), announced through PR Newswire that its directors had approved a plan to buy back up to 147 thousand shares. That is about 5% of the 2.95 million shares outstanding. Purchases may take place on the open market or in private deals, and the plan runs until August 21, 2027. Management can suspend or change it at any time and is under no obligation to buy a set number of shares.

why it matters

For the broader market these moves are modest, since both banks are small. Buybacks shrink the number of shares in circulation and can lift per-share earnings, but the volumes here are limited and the programs guarantee no actual purchases.

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