LONDON - Bodycote (LON:BOY) plc, a global leader in heat treatment and specialist thermal processing services, has announced the expansion of its share buyback program by an additional £30 million, bringing the total maximum aggregate consideration to £90 million. This extension follows the initial announcement on March 15, 2024, and a subsequent update on December 12, 2024.
The company initiated the buyback program with the intent to return £60 million to shareholders by March 2025. The first tranche of £30 million, managed by HSBC Bank plc, commenced on March 15, 2024, and concluded on July 23, 2024. The second tranche, also amounting to £30 million and conducted by Jefferies, is nearing completion and is expected to conclude by January 30, 2025.
Following the completion of the current tranche, Bodycote has entered into an agreement with HSBC for an additional £30 million share buyback. This extended program will commence immediately after the second tranche's conclusion. HSBC will conduct on-market purchases of ordinary shares independently from Bodycote's influence, even during any close period the company may be subject to.
The extended program will adhere to the same parameters as the original program, particularly concerning the volume of shares that can be traded, which currently stands at a maximum of 13,408,869 shares. The buyback will be executed in compliance with the Company's general authority to repurchase shares, Chapter 9 of the FCA’s Listing Rules, and the Market Abuse Regulation 596/2014. The program will be carried out on the London Stock Exchange (LON:LSEG) and/or other recognized investment exchanges and is expected to conclude no later than July 2025.
Bodycote operates over 155 accredited facilities in 22 countries and has been serving a diverse range of industries, including aerospace, defense, automotive, and oil & gas, for more than 50 years. The share repurchases will be executed in accordance with the authority granted by shareholders at the 2024 Annual General Meeting (AGM) and any subsequent approvals obtained at future AGMs.
This article is based on a press release statement from Bodycote plc.
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