International Holding Company (IHC), a global diversified Abu Dhabi-based conglomerate, has  launched its AED5 billion ($1.36 billion) share buyback programme, beginning with an initial tranche of AED1.8 billion, representing 36% of the total programme.

 

The first tranche is scheduled to commence on November 18. This strategic initiative underscores IHC’s commitment to enhancing shareholder value and optimising capital allocation, the company said.

 

The share buyback programme, approved at IHC’s General Assembly on June 20, 2024, and subsequently endorsed by the board, will span one year with the possibility of extension pending regulatory approval. The programme will be executed in tranches on a monthly or quarterly basis, with multiple purchases within each tranche. Each tranche will be disclosed in alignment with ADX’s strict market transparency requirements. International Securities, a licensed brokerage firm and IHC’s appointed financial institution, will exclusively manage and execute the purchases. 

 

Syed Basar Shueb, CEO of IHC, commented: “Launching the share buyback programme reaffirms our commitment to generating long-term value for our shareholders. With our robust cash flow and strong balance sheet, we are well positioned to implement this strategic initiative that reflects our confidence in IHC’s ongoing growth and market potential. This program marks a significant step in optimizing our capital structure while strengthening our position as a leader in sustainable value creation and growth."

 

This programme represents a proactive approach to reinforcing shareholder value and maintaining an efficient capital structure, while reflecting confidence in the group's financial resilience and sustained growth outlook, it said. As IHC continues to strengthen its portfolio and expand its market presence, the share buyback program will play a crucial role in enhancing shareholder returns and supporting the group's long-term vision, it added. -TradeArabia News Service