The Montreal-based aluminum smelter said the move joins its recent dividend boost in adding to shareholder value. Shares of Alcan and other metals players rose sharply earlier this year amid a commodities boom, but the stock is now 30% off its 52-week high.
"Today's announcement reflects Alcan's positive cash-flow outlook, disciplined approach to capital allocation and our commitment to shareholder value," said CEO Dick Evans. "We believe that a stock repurchase program represents an excellent investment for our shareholders. Given our strong financial performance and balance sheet strength, we plan to take advantage of this opportunity while at the same time continuing to pursue attractive growth options."