Kainos initiates £30 million share buyback program

LONDON - Kainos Group plc, a leading IT services provider in the UK, has commenced a share buyback program with Investec (LON:INVP) Bank plc to repurchase up to £30 million of its ordinary shares. The program, which started today, is aimed at reducing the company’s share capital, with all acquired shares set to be cancelled.

The buyback is authorized to continue until either the full £30 million is expended or by November 18, 2025, whichever comes first. This move follows the company’s announcement of a strong financial position in its full-year results released earlier today. Kainos reported a substantial net cash and treasury deposit balance of £133.7 million as of March 31, 2025, and significant operating cash flow.

The board of Kainos considers the share buyback an effective method to enhance shareholder value, aligning with the company’s capital allocation policy. This policy focuses on supporting business growth organically and through acquisitions, rewarding shareholders, and maintaining a robust capital foundation. The board has indicated that it will continue to review the capital allocation policy and may consider future buybacks or other capital distribution methods.

The current buyback program follows a previous repurchase initiative completed on May 9, 2025, which saw 3,993,382 shares bought back. The new program will not exceed 12,584,171 shares, adhering to the general authority granted by shareholders at the annual general meeting on September 24, 2024. Any further authority needed will be sought at the 2025 annual general meeting.

Kainos has confirmed that the buyback will be conducted in accordance with Chapter 9 of the UK Listing Rules and the Market Abuse Regulation as it is incorporated into UK law. Investec will independently manage the timing of the share purchases and will act as principal for the on-sale of the shares to Kainos. The transactions will take place on the London Stock Exchange (LON:LSEG), and Kainos will announce the completion of any share purchases. However, there is no certainty that the program will be fully executed or that any shares will be acquired.

The information disclosed in this announcement is based on a press release statement issued by Kainos Group plc.

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