Nokia Corporation's Significant Share Buyback Initiative
Nokia Corporation's Share Buyback on November 28, 2024
Nokia Corporation has taken a significant step by repurchasing its own shares, highlighting the company's commitment to enhancing shareholder value and its strategic financial management.
Details of the Share Repurchase
On November 28, 2024, Nokia Corporation acquired a total of 872,093 shares through the XHEL trading venue. The weighted average price per share was set at EUR 3.97. This repurchase is part of a broader initiative aimed at offsetting the effect of new shares issued to Infinera Corporation shareholders as well as certain share-based incentives related to Infinera.
Background of the Buyback Program
Nokia's Board of Directors announced on November 22, 2024, the initiation of this share buyback program. It is designed to counteract the dilutive impact from issuing new shares and falls under the regulations established by the EU Market Abuse Regulation (EU 596/2014) and related guidelines.
The program aims to repurchase up to a maximum of 150 million shares with a total purchase cap of EUR 900 million, demonstrating Nokia's proactive approach in maintaining a balanced capital structure. The repurchases started as planned on November 25, 2024, and are expected to conclude by December 31, 2025.
Financial Implications of the Repurchase
On the day of repurchase, the total cost incurred by Nokia for these transactions amounted to EUR 3,465,349. Following this transaction, the company holds a total of 363,190,882 treasury shares. This move not only reflects confidence in the company's future but also aims to stabilize share prices by reducing the overall supply in the market.
Nokia's Vision for the Future
Nokia Corporation is committed to creating innovative technology that facilitates seamless connectivity for businesses and consumers alike. As a leader in B2B technology innovations, Nokia is actively redefining communication networks across mobile, fixed, and cloud dimensions.
By investing in advanced technology and leveraging its extensive portfolio through Nokia Bell Labs, the company is poised to lead in creating sustainable and efficient network solutions. This not only improves operational efficiencies but also helps in generating new revenue streams for its clients.
Contact Information
If you have any inquiries regarding the share buyback or other corporate matters, you can reach out to Nokia Communications at +358 10 448 4900 or via email at press.services@nokia.com.
Additionally, for queries regarding Nokia's financial performance and investor-related information, you can contact Nokia Investor Relations at +358 40 803 4080 or email investor.relations@nokia.com.
Frequently Asked Questions
1. Why is Nokia Corporation repurchasing its shares?
Nokia is repurchasing shares to offset dilution from new shares issued in connection with Infinera Corporation and to enhance shareholder value.
2. When will the buyback program conclude?
The buyback program is set to conclude by December 31, 2025.
3. How many shares does Nokia plan to repurchase?
Nokia aims to repurchase up to 150 million shares during this initiative.
4. What was the average price per share during the repurchase?
The weighted average price per share during the repurchase was EUR 3.97.
5. How many treasury shares does Nokia hold after the buyback?
After the transactions on November 28, 2024, Nokia holds a total of 363,190,882 treasury shares.
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