FLSmidth Launches Share Buy-Back Program Worth DKK 1.4 Billion

Author: Owen Jenkins Updated: 06-25-2025 02:00 AM

FLSmidth Initiates Major Share Buy-Back Initiative

In a significant financial move, FLSmidth & Co. A/S has announced the launch of a share buy-back program, aiming to repurchase shares worth up to DKK 1.4 billion. This initiative is set to commence immediately and is expected to conclude before the next Annual General Meeting. This meeting is anticipated to take place in March of the following year.

Objectives of the Share Buy-Back Program

The primary aim of this buy-back program is to fine-tune the company's capital structure. By repurchasing shares, FLSmidth also intends to satisfy its obligations stemming from share-based employee incentive programs. If shares acquired through this initiative are not used for these obligations, they will be proposed for cancellation at a forthcoming General Meeting.

Key Authorizations and Guidelines

The authorizations necessary for this initiative were granted to the Board of Directors during the last Annual General Meeting, which was held earlier this year. This allows FLSmidth to buy back its own shares up to a limit of 10 percent of its total share capital. Importantly, the purchase price must not vary by more than 10 percent from the market price listed on Nasdaq Copenhagen at the time of acquisition.

Management and Execution of the Program

BNP Paribas has been appointed to handle the daily operations of the buy-back program. The independent manager will handle all trading decisions, ensuring that FLSmidth's interests are maintained throughout the process. The company will limit its share purchases to a specified percentage of the average trading volume, maintaining market stability.

Structuring the Share Buy-Back

Under the buy-back initiative, FLSmidth may repurchase up to 4,600,000 shares, which is approximately 8 percent of the company's share capital. To maintain a fair trading environment, the company will ensure that the number of shares bought each trading day does not exceed 25 percent of the average daily trading volume over the preceding 20 days.

Suspension Rights and Future Updates

FLSmidth retains the right to suspend the buy-back program at any time. If such a decision is made, it will promptly be communicated through a company announcement. Regular updates regarding the transactions executed under the buy-back program will be provided, adhering to market regulations.

Contacts for Further Information

For any inquiries, the Investor Relations team at FLSmidth is available. Andreas Holkjær can be reached at +45 24 85 03 84, and Jannick Denholt is available at +45 21 69 66 57, both ready to assist with detailed information regarding the share buy-back program.

About FLSmidth

FLSmidth is recognized globally as a leading technology and service supplier to the mining industry. The company focuses on enhancing operational performance while prioritizing sustainability. Its ambitious initiative, MissionZero, aims for zero emissions in mining by 2030, aligning with ambitious science-based targets towards a greener future.

Frequently Asked Questions

What is the purpose of FLSmidth's share buy-back program?

The main purpose is to optimize the capital structure and meet share-based incentive obligations.

How much is FLSmidth planning to spend on the buy-back?

FLSmidth plans to repurchase up to DKK 1.4 billion in shares.

Who is managing the buy-back program?

BNP Paribas has been appointed to manage the buy-back program independently.

What percentage of shares can FLSmidth buy back?

FLSmidth can acquire up to 10 percent of its total share capital as per the given authorization.

When is the buy-back program expected to end?

The program is set to conclude no later than March of the following year.

About The Author

Hi there I'm 38-year-old author and financial consultant Owen Jenkins. Having worked in the financial sector for more than ten years, I am well-versed in the subtleties and complexity that mold our financial environment. Following a degree in finance, I worked in a number of financial institutions honing my abilities in market analysis, financial planning, and investment strategies.

My love is teaching others about investing and personal finance. My goal in writing many books and articles has been to demystify financial ideas and give readers the information they need to make wise financial decisions. I write with a direct, useful style that emphasizes doable suggestions for daily living.

Along with writing, I lead webinars and seminars where I impart knowledge on how to successfully negotiate the financial world. I also write for financial journals and show up as a guest expert on financial news programs a lot. Whether they are new to investing or want to improve their approach, my mission is to enable people to take charge of their financial futures.

Beyond work, I like to hike, play the guitar, and spend time with my family. I think that balance is crucial and want to encourage people to strike a balance between their financial aspirations and their hobbies. I want to help people succeed and achieve financial security through my work, so having a good influence.

Contact Owen Jenkins privately here. Or send an email with ATTN: Owen Jenkins as the subject to contact@investorshangout.com.

About Investors Hangout

Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/

The content of this article is based on factual, publicly available information and does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice, and the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. This article should not be considered advice to purchase, sell, or hold any securities or other investments. If any of the material provided here is inaccurate, please contact us for corrections.