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Adidas continues share buyback programme with 3rd tranche

07
Jan '20

Pic: Adidas

Sporting goods company Adidas has announced the start of the third tranche of its current multi-year share buyback programme initially announced in March 2018 and intends to repurchase own shares worth up to € 1.0 billion in 2020. In total, under the current programme, Adidas plans to buy back own shares for up to €3.0 billion between March 2018 and May 2021.

In the previous two tranches of the programme, the company bought back a total of 8.3 million shares, corresponding to 4.1 per cent of the company’s stock capital, for a total consideration of € 1.8 billion.

The buyback programme complements Adidas’ policy to pay an annual dividend to shareholders in the range of 30-50 per cent of net income from continuing operations. Taking dividend payments into consideration, the company has returned a total amount of cash of €3.0 billion to its shareholders since the start of the current programme in March 2018.

As announced in March 2018, Adidas intends to cancel the majority of the repurchased shares. A total of 8.8 million treasury shares have been canceled since the start of the current programme, reducing the company’s share count and stock capital correspondingly.

Fibre2Fashion News Desk (PC)

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