Equity

Jane

Telecoms services provider, <a href="https://technext24.com/2023/10/20/airtel-rwanda-4g-smartphone-africa/">Airtel Africa</a> has announced the second tranche of its $100m share buy-back programme. According to a notice filed with the Nigeria Exchange Limited by the telco, yesterday, the phase, is valued at up to $50m and will run until December 19. 
This is in line with the resolutions made at the company’s annual general meeting, which took place in July 2024. “Shareholders gave the company authority to purchase a maximum of 374,141,187 ordinary shares”, the notice recalls. 
“This is further to its announcements on February 1, 2024, and March 1, 2024, and follows the completion of the first tranche of the Programme. The second tranche of the share buy-back will amount to a maximum of $50m and is anticipated to end on or before December 19, 2024,” the notice stated. 
Airtel Africa stated that the purpose of the repurchase is to lower share capital, as well as the debt obligations and operating cash expenses that excess share capital may incur. 
<div class="wp-block-image"> 
 <figure class="aligncenter size-full">
 <img loading="lazy" decoding="async" width="870" height="498" src="https://technext24.com/wp-content/uploads/2023/10/image-69.png" alt="Airtel launches Africa's most-affordable 4G smartphone in Rwanda to boost digital inclusion" class="wp-image-218946">
 </figure>
</div> 
To manage the second tranche, Airtel Africa has engaged Citigroup Global Markets Limited to handle the on-market purchases. According to the telco, Citi will operate as a riskless principal, making independent decisions regarding purchases. Subsequently, Airtel Africa would buy the shares from Citi. 
It also stated that all transactions would be done with the permission of the shareholders of the company: 
“Any purchases of ordinary shares under the buy-back program by Citi will be carried out in accordance with certain pre-set parameters set out in the agreement with Citi, and Company purchases will be following (and subject to the limits prescribed by) the Company’s general authority to repurchase ordinary shares on the London Stock Exchange”, the statement added.&nbsp; 
CEO of Airtel Africa, Raghunath Mandava <a href="https://punchng.com/airtel-africa-plans-50m-share-buy-back/" target="_blank" rel="noopener">stated </a>that the share buy-back programme is an integral part of the company’s strategy to return value to its shareholders and to optimise capital structure.&nbsp;“By cancelling the repurchased shares, we aim to enhance shareholder value and reflect our commitment to maintaining a strong balance sheet”, he said. 
Also, Citi’s Head of Equity Capital Markets, Jane Smith, noted: “We are pleased to support Airtel Africa in this significant capital management initiative. Our role as riskless principal allows us to execute the buy-back efficiently while adhering to all regulatory requirements. We look forward to helping Airtel Africa achieve its strategic objectives through this programme.”
The post <a href="https://technext24.com/2024/08/20/airtel-2nd-phase-100m-share-buy-back/">Airtel Africa announces 2nd phase of $100m share buy-back programme</a> first appeared on <a href="https://technext24.com">Technext</a>.

Airtel Africa announces 2nd phase of $100m share buy-back programme

Technext.ng

Other articles published on Aug 20, 2024

RFK Jr’s running mate floats ‘unity party’ with former President Trump

Impact of Liquidity Pools on DeFi Ecosystems

SHIB Sinks to 2024 Lows, XRP Golden Crosses the Finish Line – CYBRO on Track for 10,904% Surge

OKX Wallet Partners with Nubit to Enable Trustless Indexing for the Bitcoin Ecosystem

Bitcoin demand sharply declining since April — CryptoQuant

Bybit Announces Sponsorship of BOB2024: Celebrating Onsen Culture and Enjoying Music in Beppu, Ja...

Join our free newsletter for daily crypto updates!