Genmab Launches a New Share Buy-Back Initiative to Enhance Value
Genmab Launches Share Buy-Back Program
Company Announcement
Genmab A/S (NASDAQ: GMAB) has taken a significant step by initiating a share buy-back program aimed at reducing its capital while honoring commitments under its Restricted Stock Unit program. This proactive move will enable the company to repurchase up to 2.2 million of its shares, with a total maximum value of DKK 4.0 billion. The program is meticulously designed to enhance shareholder value and provide financial flexibility.
Repurchase Details
The buy-back program is structured to commence on March 26, 2025, with a completion date no later than July 10, 2025, unless the company opts to terminate or suspend the program earlier. This timeline aligns with Genmab's strategic objectives and their commitment to their investors.
Terms of the Program
To execute the share buy-back efficiently, Genmab has appointed Goldman Sachs International to administer the initiative. Acting as an independent entity, the bank will make all trading decisions, ensuring that the buy-back activities are managed without direct influence from Genmab. The planned repurchase aims for a maximum total value of DKK 4 billion, allowing for a substantial number of shares to be acquired from the market.
Trading Conditions
All purchases will take place within regulatory frameworks set by the European Union, specifically adhering to Commission Delegated Regulation (EU) 2016/1052. This regulation ensures that all buy-back activities are conducted under defined price and volume conditions, securing investor interests and compliance with market norms. Notably, the purchasing price for shares will not surpass the higher of: (i) the most recent independent transaction price on the trading venue, or (ii) the highest independent bid price prevailing at the time of purchase.
Current Holdings and Market Position
As of the announcement date, Genmab holds approximately 2,537,988 treasury shares, representing about 3.83% of its total share capital. This strategic positioning in the market emphasizes the company's proactive approach in enhancing shareholder equity through repurchases.
Market Reactions and Future Implications
With the initiation of the buy-back program, market analysts are keenly observing Genmab's next moves. This decision is expected to resonate well with investors, demonstrating a commitment to creating long-term value. Additionally, Genmab plans to issue weekly announcements concerning the transactions made under the program. This transparency will foster trust and keep stakeholders informed.
Genmab's Vision and Commitment
Founded in 1999, Genmab is a leading international biotechnology company dedicated to improving patient lives through innovative antibody therapeutics. With a strong emphasis on research and development, Genmab's team works diligently to create next-generation antibody technology platforms aimed at tackling cancer and serious diseases. Their vision for 2030 involves delivering transformative medicines that could significantly alter patient outcomes.
Contact Information for Inquiries
For further inquiries about the share buy-back program or Genmab's strategic direction, interested parties can reach out to:
Marisol Peron, Senior Vice President, Global Communications & Corporate Affairs
T: +1 609 524 0065; E: mmp@genmab.com
Or contact:
Andrew Carlsen, Vice President, Head of Investor Relations
T: +45 3377 9558; E: acn@genmab.com
Frequently Asked Questions
What is the purpose of Genmab's share buy-back program?
The buy-back program aims to reduce share capital and honor commitments under the Restricted Stock Unit program, enhancing shareholder value.
How many shares will Genmab repurchase in this initiative?
Genmab plans to repurchase up to 2.2 million shares with a maximum total value of DKK 4.0 billion.
When does the buy-back program begin and end?
The program is set to start on March 26, 2025, and is expected to conclude by July 10, 2025, unless terminated sooner.
How will the buy-back transactions be conducted?
Transactions will occur through Nasdaq Copenhagen and other trading venues, executed by Goldman Sachs International acting independently.
What is Genmab's overall vision for the future?
By 2030, Genmab aims to transform the lives of patients with cancer and other serious diseases through innovative antibody medicines, showcasing its commitment to pioneering healthcare solutions.
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