Airtel Africa plc, a leading telecommunications company, made waves on both the London Stock Exchange and the Nigerian market with its recent announcement of a significant repurchase of its own shares. The move, part of the Company’s ongoing share buy-back program, signifies Airtel Africa’s commitment to optimizing shareholder value and capital structure.
On the 18th of March 2024, Airtel Africa executed a transaction through Citigroup Global Markets Limited, purchasing a total of 497,622 of its ordinary shares with a nominal value of USD 0.50 each. The buy-back, conducted on the London Stock Exchange, saw prices fluctuating between a low of 93.50 GBp and a high of 94.65 GBp per share, with a volume-weighted average price of 94.28 GBp.
This strategic move marks another milestone in Airtel Africa’s ongoing efforts to enhance shareholder returns and solidify its financial position. The repurchased ordinary shares will be subsequently cancelled, reducing the overall outstanding shares and potentially boosting earnings per share for existing shareholders.
Since the inception of the share buy-back program, announced on 1st March 2024, Airtel Africa has demonstrated a consistent commitment to repurchasing its own shares. In aggregate, the Company has bought back a total of 5,793,112 ordinary shares at a volume-weighted average price of GBp 95.39 per share.
The meticulous execution of this share buy-back program reflects Airtel Africa’s confidence in its business fundamentals and future prospects. By leveraging its financial resources to repurchase undervalued shares, the Company aims to create long-term value for its shareholders while maintaining a prudent capital structure.
As Airtel Africa continues to navigate the dynamic telecommunications landscape in Africa and beyond, the success of its share buy-back program underscores its strategic agility and commitment to delivering sustainable growth and shareholder returns. With the latest repurchase, investors eagerly await further updates on Airtel Africa’s strategic initiatives and financial performance in the coming quarters.