Aabenraa, Denmark, 2016-02-24 08:27 CET (GLOBE NEWSWIRE) -- Sydbank’s Board of Directors has decided to implement a share buyback programme of DKK 350m with the purpose of reducing the Bank’s share capital with the shares bought under the programme.
Using the closing price on Tuesday 23 February 2016 the buyback equals about 1.8m shares, equal to 2.4% of the Bank’s share capital.
The share buyback will be executed in accordance with the authorisation of the general meeting of 4 March 2013 whereby the Board of Directors may acquire own shares of up to 10% of the capital.
The share buyback is part of the capital adjustment to optimise the capital structure in accordance with the Bank’s capital targets and capital policy published in the Bank’s 2014 Annual Report. At 31 December 2015 the Bank’s Common Equity Tier 1 capital ratio stood at 14.5% and its capital ratio stood at 17.6%.
The share buyback programme will be initiated on Monday 29 February 2016 and will be completed by this year. Sydbank has chosen Danske Bank to manage the buyback which will be executed in compliance with the European Commission’s Regulation No 2273/2003 of 22 December 2003, known as the Safe Harbour Regulation.
The share buyback programme will be subject to the following guidelines:
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On each trading day shares purchased may not exceed 25% of the average daily volume traded in the preceding 20 trading days.
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Shares may not be bought at a price above the higher of:
1. the price of the most recent independent trade on Nasdaq Copenhagen
2. the price of the highest independent bid on Nasdaq Copenhagen.
On the first banking day of each week Sydbank will state the number and value of repurchased shares in a company announcement, the first time being on 7 March 2016.
Sydbank may suspend or end the share buyback programme at any time. In such case this will be announced in a company announcement to Nasdaq Copenhagen.
