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Richemont completes buybacks

Jul 24 2009 09:09

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Johannesburg - Swiss-based luxury goods group Richemont announced on Friday that it has completed its extended programme to buy back 15.4 million Richemont 'A' shares through the market.

A programme to buy back 10 million 'A' units was announced in May 2008. The approval for an extension to buy back a further 5.4 million 'A' shares over a two-year period was received on 29 May 2009.

The change from units to shares and the extension followed from the group's restructuring of 20 October 2008.

The extended programme therefore allowed for the buy-back of up to 15.4 million 'A' shares over the three-year period from May 2008 to May 2011. It represented 2.68% of the capital and 1.48% of the voting rights of Compagnie Financière Richemont SA.

Purchases were effected on SIX Swiss Exchange at prevailing market prices and through the exercise of over-the-counter call options. The 'A' shares acquired have not been cancelled and no second trading line was introduced as a consequence of the buy-back programme.

The 'A' shares acquired will be held in treasury to hedge awards to executives under the group's stock option plan.

Richemont currently holds in treasury 24.1 million 'A' shares, representing 4.20% of the capital and 2.31% of the voting rights of the company.

In addition, Richemont holds over-the-counter call options to acquire a further 13.6 million 'A' shares, representing 2.37% of the capital and 1.30% of the voting rights of the company.

All such shares and call options are linked to the group's stock option plan.

Richemont 'A' shares are traded on SIX Swiss Exchange and are included in the SMI Swiss Market Index.

- I-Net Bridge

 
 
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