Nokia buys back shares to mitigate dilution effects

Published 16/01/2025, 21:34
Nokia buys back shares to mitigate dilution effects

ESPOO, Finland - Nokia (HE:NOKIA) Corporation (NYSE:NOK) has completed a repurchase of its own shares on Thursday, as part of its ongoing buyback program designed to offset the dilution from recent share issuances. The technology company acquired a total of 872,093 shares at an average price of €4.35 per share, amounting to a total cost of approximately €3.8 million.

The buyback initiative, which began on November 25, 2024, follows an announcement made by Nokia on November 22, 2024, detailing the Board of Directors' decision to launch the program. This action was taken in response to the dilutive effect of new shares issued to shareholders of Infinera (NASDAQ:INFN) Corporation and related to certain share-based incentives. The program, which has been authorized by Nokia’s Annual General Meeting on April 3, 2024, is set to conclude by December 31, 2025. Nokia aims to repurchase 150 million shares with a maximum aggregate purchase price of €900 million.

Following the transactions on Thursday, Nokia Corporation's treasury now holds 229,963,266 shares. The repurchase transactions were conducted on the trading venue XHEL and were in accordance with the Market Abuse Regulation (EU) 596/2014 (MAR), and the Commission Delegated Regulation (EU) 2016/1052.

Nokia is recognized as a B2B technology innovation leader, with a focus on developing networks that are capable of sensing, thinking, and acting. The company's efforts span across mobile, fixed, and cloud networks. Nokia Bell Labs, the company's research division, has received accolades for its contributions to long-term research. Nokia's open architectures are designed to integrate seamlessly into various ecosystems, providing high-performance networks that create opportunities for monetization and scale. Service providers, enterprises, and partners globally rely on Nokia for secure, reliable, and sustainable networks that not only meet today's demands but also facilitate the creation of future digital services and applications.

This repurchase is part of Nokia's strategic efforts to manage its capital structure and to return value to shareholders. The information provided is based on a press release statement from Nokia Corporation.

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