Gamma Communications launches £50m share buyback

Published 25/03/2025, 08:04
Gamma Communications launches £50m share buyback

LONDON - Gamma Communications plc, a prominent European technology-based communication solutions provider, has initiated a share buyback programme to repurchase up to £50 million worth of its ordinary shares. The programme, which began on the date of the announcement, will continue until 30 June 2025, unless the maximum expenditure is reached beforehand or the plan is reapproved at the company’s annual general meeting scheduled for 14 May 2025.

Gamma has appointed Peel Hunt LLP, its Nominated Adviser and Joint Broker, to manage the buyback within specific parameters. The purchase price for each ordinary share will not exceed 105% of the average mid-market closing price over the last five trading days. This buyback is part of an existing authority from Gamma’s 2024 AGM, which allows for the repurchase of a maximum of 9,685,669 ordinary shares. To date, 1,910,596 shares have been bought back under this authority.

The company’s buyback may constitute a significant portion of the ordinary shares’ daily trading volume, potentially surpassing 25% of the average daily volume. Consequently, Gamma will not qualify for the exemption under Article 5(1) of the UK Market Abuse Regulation.

The buyback programme aims to reduce Gamma’s share capital, with repurchased shares either being cancelled or held in treasury. The latter will be used to fulfill obligations from share option programmes. Gamma has confirmed that it is not in a closed period and is not privy to undisclosed inside information.

Further announcements will follow after any repurchase transactions, as per the requirements of the UK Market Abuse Regulation. This buyback programme reflects Gamma’s ongoing capital management strategy and commitment to shareholder value.

This news report is based on a press release statement from Gamma Communications plc.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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