Ferrari N.V. Reports Latest Progress on Share Buyback

Overview of Ferrari N.V.'s Share Buyback Program

Ferrari N.V. (NYSE: RACE) is a renowned name in the automotive world, particularly known for its luxury sports cars. Recently, the company has maintained a strong focus on its shareholder value through an ongoing share buyback program. This program was first introduced during a pivotal Capital Markets Day held in 2022, outlining a commitment to buy back shares worth approximately Euro 2 billion over several years. As part of that commitment, Ferrari has initiated the fifth tranche of this buyback plan, amounting to Euro 250 million.

Details of the Fifth Tranche

This latest tranche, as announced in the mid-year review, aims to enhance shareholder returns and reflects Ferrari's robust financial position. Until November 8, 2024, the company has made significant purchases under the fifth tranche, reported on the Euronext Milan. The details include:

Trading Activity

Ferrari N.V. has made substantial progress in this buyback effort with transactions recorded daily. Notably, on November 4, 2024, the company purchased 3,700 shares at an average price of €441.67. The following day, the volume surged as 55,000 shares were acquired at approximately €412.16 each. A further 9,448 shares were bought on November 6, 2024, at a price slightly lower than the previous day, demonstrating active engagement in share repurchase schemes.

Investment Highlights

So far, a total of Euro 199,999,033.02 has been invested in 484,498 common shares on the Euronext Milan, indicating a full commitment of the fifth tranche. Notably, the company also made purchases in the US market, spending approximately USD 45,452,667.64 for 97,673 common shares on the NYSE. This diversified approach emphasizes Ferrari's strategic goal of balancing its shareholder engagement across different markets.

Total Shares Held

As of November 8, 2024, Ferrari holds 14,746,497 common shares in treasury, which accounts for 5.74% of its total issued share capital, reflecting a significant retention of capital among shareholders. This demonstrates the company's position and intention to sustain shareholder equity while managing capital effectively.

Long-Term Buyback Strategy

Since inception of the buyback program, Ferrari has acquired an impressive total of 3,923,733 shares across both the Euronext and NYSE markets for a collective consideration exceeding Euro 1.16 billion. This strategic move not only aims to support share price stability but also enhances the value delivered to shareholders, ensuring that they benefit from the company’s growth trajectory.

Accessibility of Information

Ferrari is committed to transparency and regularly updates its shareholders on the progress of the buyback program. A detailed overview of the transactions executed as part of this program is available on the company’s corporate website, under the Buyback Programs section. This accessibility reinforces Ferrari’s dedication to maintaining an open line of communication with its investors and stakeholders.

Frequently Asked Questions

What is Ferrari's share buyback program?

The share buyback program is a strategy employed by Ferrari to repurchase its own shares from the market, enhancing shareholder value and demonstrating financial strength.

How much has Ferrari invested in its buyback program so far?

As of November 8, 2024, Ferrari has invested approximately Euro 199.99 million under the fifth tranche of the buyback program.

What percentage of shares does Ferrari hold in treasury?

Ferrari holds 14,746,497 common shares in treasury, representing 5.74% of the total issued share capital.

Where can I find more information on Ferrari's transactions?

More detailed information about Ferrari's buyback transactions can be found on the company’s corporate website in the Buyback Programs section.

How does the share buyback affect Ferrari's share price?

The buyback program typically supports the share price by reducing the number of shares available on the market, thereby potentially increasing the value of remaining shares.

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