Spar Nord Bank's Active Share Buyback Program Update

Spar Nord Bank's Share Buyback Program Overview

Spar Nord Bank has recently made headlines with its announcement of a substantial share buyback program aimed at enhancing shareholder value. The bank's initiative includes a plan to repurchase shares worth up to DKK 500 million, highlighting its commitment to maintaining a robust capital structure and returning value to its investors.

Understanding the Purpose of the Buyback

The fundamental goal of this share buyback program is to reduce the bank's overall share capital. By acquiring its own shares, Spar Nord intends to consolidate its financial position in accordance with the Market Abuse Regulation (Regulation (EU) No 596/2014). This strategic move showcases the bank's proactive approach in optimizing its capital management.

Recent Transactions Under the Buyback Program

In the past week alone, Spar Nord undertook several transactions as part of its buyback efforts. Here’s a summary of the transactions that took place:

Transactions Overview

The bank successfully bought back a total of 78,000 shares. Following these transactions, Spar Nord now holds an impressive total of 3,098,604 treasury shares, which represents approximately 2.63% of its share capital. This accumulation is a strategic maneuver as the bank actively manages its equity to provide further returns to shareholders.

Daily Transaction Breakdown

On specific days from November 4 to November 8, the bank executed multiple purchases:

• On November 4, Spar Nord acquired 16,000 shares at an average price of DKK 132.66.
• On November 5, another 16,000 shares were repurchased at DKK 133.35.
• The trend continued on November 6 and 7, with purchases of 16,000 shares each day at prices of DKK 134.83 and DKK 136.38 respectively.
• The final purchase during this period occurred on November 8, where the bank bought an additional 15,000 shares at DKK 133.63.

Impact of the Buyback on Shareholders

The share buyback initiative is designed to enhance shareholder value by reducing the number of outstanding shares, subsequently increasing earnings per share (EPS). This is beneficial for investors as a lower share count, paired with stable or improving earnings, typically results in higher profitability metrics.

Conclusion and Future Outlook

Spar Nord Bank remains committed to utilizing share buybacks as a tool for financial management and shareholder enrichment. As the bank moves forward with its strategic initiatives, shareholders can look forward to the positive impact of these treasury shares on their investments.

For inquiries about this announcement, please contact Rune Brandt Børglum, CFO at +45 96 34 42 36.

Frequently Asked Questions

What is the purpose of Spar Nord's share buyback program?

The primary purpose is to reduce share capital and enhance shareholder value through strategic capital management.

How many shares has Spar Nord bought back recently?

The bank has recently bought back a total of 78,000 shares under its ongoing program.

What does holding treasury shares indicate for the bank?

Holding treasury shares indicates that the bank is actively managing its equity and looking to improve financial metrics like earnings per share to benefit shareholders.

How does a share buyback affect shareholders?

A share buyback typically leads to an increased earnings per share due to fewer shares in circulation, which often results in enhanced shareholder returns.

Who can I contact for more information about the buyback program?

For further details, you can reach out to Rune Brandt Børglum, CFO of Spar Nord Bank, at +45 96 34 42 36.

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