Empowering Shareholders with Strategic Buyback Program
Company announcement
No. 43/2024
On 14 August, Netcompany Group A/S (Copenhagen: NETC) announced an ambitious share buyback program aimed at enhancing capital structure and fulfilling obligations related to share-based incentive plans. This initiative allows for the purchase of up to DKK 150 million in shares, reflecting the company’s commitment to return value to its shareholders.
Understanding the Buyback Program
This buyback program is designed to bolster Netcompany's financial standing and optimize equity ratios. The initiative conforms to the EU Market Abuse Regulation, ensuring transparent and responsible execution as per EU Regulation 596/2014 and Commission Delegated Regulation (EU) 2016/1052, commonly referred to as the Safe Harbour Regulation. The program is set to conclude by the end of October.
Weekly Transaction Announcements
As part of maintaining transparency, Netcompany will disclose all transactions related to the buyback program through Nasdaq Copenhagen on a weekly basis. Investors can look forward to regular updates detailing the progress of the buyback efforts.
Recent Transactions Overview
During the initial phases of the buyback program, from 27 September to 3 October, several transactions were executed:
On 27 September, Netcompany bought back 6,000 shares at an average price of DKK 306.78, translating to a total transaction value of DKK 1,840,680. The company continued this initiative, acquiring 8,000 shares on 30 September at an average price of DKK 304.94, with a total cost of DKK 2,439,520. The buying spree continued with 7,000 shares on 1 October at DKK 310.36, accumulating a total transaction of DKK 2,172,520.
On subsequent days, 9,000 shares were acquired on 2 October at DKK 303.38 for a total of DKK 2,730,420, followed by a purchase of 12,000 shares on 3 October at DKK 296.05, worth DKK 3,552,600.
Accumulated Transactions to Date
As a result of these transactions, the total share purchases reached an impressive 42,000 shares for the period, equating to an overall value of DKK 12,735,740. Cumulatively, Netcompany has acquired 364,300 shares under the ongoing program, amounting to a total investment of DKK 109,959,718.
Significance of the Buyback Program
This buyback initiative not only aims to enhance Netcompany’s financial metrics but also signifies confidence in the company’s growth trajectory. Following these transactions, the company possesses 2,097,409 treasury shares, which comprise approximately 4.2% of the total share capital. This strategic move reflects an intention to fortify shareholder support and provide a foundation for sustainable growth.
Further Information and Contacts
For those seeking additional insights regarding this program or related matters, Netcompany encourages stakeholders to reach out. Thomas Johansen, CFO, can be contacted at +45 51 19 32 24, and Frederikke Linde, Head of Investor Relations, is available at +45 60 62 60 87.
Frequently Asked Questions
What is the purpose of Netcompany’s share buyback program?
The program aims to adjust capital structure and fulfill obligations related to share-based incentives, thereby enhancing shareholder value.
How much is being allocated for the share buyback?
Netcompany has set aside up to DKK 150 million for the buyback program to support equity and reward shareholders.
What recent transactions were made under the program?
Recently, Netcompany executed several transactions, acquiring a total of 42,000 shares within a week, representing significant investment towards shareholder return.
Where can I find updates on the share buyback transactions?
Updates will be published weekly through Nasdaq Copenhagen, offering transparency on the program's progression.
Who can I contact for more information about the share buyback?
For inquiries, you can contact Thomas Johansen, CFO, or Frederikke Linde, Head of IR, directly at their provided phone numbers.
