Airtel Africa Intensifies Share Buyback, Acquires 12.25 Million Shares with Barclays’ Support
Airtel Africa has repurchased 12,254,438 ordinary shares since launching its share buyback program on December 23, 2024, with Barclays Capital Securities Limited overseeing the first phase of the process. The company executed the buyback at a volume-weighted average price of 116.6170 GBp per share as part of its broader plan to enhance shareholder value.
Why Airtel Africa is Buying Back Shares
Airtel Africa’s share buyback initiative is part of its capital reduction strategy, aimed at boosting investor confidence and maintaining share price stability despite the company’s financial pressures, particularly from Nigeria’s currency volatility. The first tranche of the buyback is expected to conclude by April 24, 2025, with an allocation of up to $50 million.
How the Buyback is Being Executed
Barclays Capital Securities Limited is leading the buyback as a riskless principal, meaning it makes independent trading decisions while repurchasing Airtel Africa’s shares on various exchanges. So far, purchases have occurred across multiple trading venues:
• London Stock Exchange: 326,082 shares at an average price of GBp 124.27
• BATS Europe: 40,547 shares at GBp 124.33
• CHI-X Europe: 136,661 shares at GBp 124.33
• Aquis Exchange: 45,510 shares at GBp 124.44
• Turquoise Exchange: 51,200 shares at GBp 124.36
What This Means for Shareholders
At the company’s Annual General Meeting (AGM) on July 3, 2024, shareholders approved a maximum repurchase of 374,141,187 shares, with 328,842,995 still available under the buyback authorization. The initiative aligns with Airtel Africa’s capital allocation policy, reflecting the Board’s confidence in its long-term growth potential and financial strength.
The company recently launched a second $100 million share buyback program, reinforcing its commitment to enhancing shareholder value. All repurchased shares will be cancelled, ensuring that the buyback directly reduces the company’s outstanding share capital.
Airtel Africa’s Financial Performance and Market Position
Despite its aggressive buyback, Airtel Africa faces financial challenges, with its half-year revenue falling to $2.37 billion, largely due to the depreciation of the Naira. The buyback program, however, signals that the company is focused on strengthening investor confidence, stabilizing stock performance, and optimizing its capital structure in a fluctuating economic environment.
Airtel Africa has repurchased 12,254,438 ordinary shares since launching its share buyback program on December 23, 2024, with Barclays Capital Securities Limited overseeing the first phase of the process. The company executed the buyback at a volume-weighted average price of 116.6170 GBp per share as part of its broader plan to enhance shareholder value.
Why Airtel Africa is Buying Back Shares
Airtel Africa’s share buyback initiative is part of its capital reduction strategy, aimed at boosting investor confidence and maintaining share price stability despite the company’s financial pressures, particularly from Nigeria’s currency volatility. The first tranche of the buyback is expected to conclude by April 24, 2025, with an allocation of up to $50 million.
How the Buyback is Being Executed
Barclays Capital Securities Limited is leading the buyback as a riskless principal, meaning it makes independent trading decisions while repurchasing Airtel Africa’s shares on various exchanges. So far, purchases have occurred across multiple trading venues:
• London Stock Exchange: 326,082 shares at an average price of GBp 124.27
• BATS Europe: 40,547 shares at GBp 124.33
• CHI-X Europe: 136,661 shares at GBp 124.33
• Aquis Exchange: 45,510 shares at GBp 124.44
• Turquoise Exchange: 51,200 shares at GBp 124.36
What This Means for Shareholders
At the company’s Annual General Meeting (AGM) on July 3, 2024, shareholders approved a maximum repurchase of 374,141,187 shares, with 328,842,995 still available under the buyback authorization. The initiative aligns with Airtel Africa’s capital allocation policy, reflecting the Board’s confidence in its long-term growth potential and financial strength.
The company recently launched a second $100 million share buyback program, reinforcing its commitment to enhancing shareholder value. All repurchased shares will be cancelled, ensuring that the buyback directly reduces the company’s outstanding share capital.
Airtel Africa’s Financial Performance and Market Position
Despite its aggressive buyback, Airtel Africa faces financial challenges, with its half-year revenue falling to $2.37 billion, largely due to the depreciation of the Naira. The buyback program, however, signals that the company is focused on strengthening investor confidence, stabilizing stock performance, and optimizing its capital structure in a fluctuating economic environment.