Simon® Unveils Ambitious New $2.0 Billion Stock Repurchase Initiative

Simon® Initiates a $2.0 Billion Common Stock Repurchase Program

On February 5, 2026, Simon®, a prominent real estate investment trust known for managing top-tier shopping, dining, and entertainment destinations, announced a significant initiative—a new common stock repurchase program amounting to $2.0 billion. This strategic move, authorized by the Company’s Board of Directors, aims to bolster shareholder value and reflects Simon's confidence in its ongoing business model and market position.

Overview of the Stock Repurchase Program

The newly approved stock repurchase program allows Simon to buy back shares of its common stock until February 29, 2028. The program is designed to adapt to fluctuating market conditions, allowing the Company to repurchase shares either on the open market or through negotiated private transactions, depending on what it determines is appropriate. Importantly, the initiative offers flexibility—there is no obligation to repurchase a specified amount or number of shares, and the program can be paused or terminated at any time.

This repurchase replaces an earlier program that was set to expire on February 15, 2026, which still had approximately $1.7 billion available for share buybacks. By initiating this new program, Simon signals its aggressive stance on enhancing shareholder returns amidst an evolving market landscape.

Rationale Behind the Decision

The real estate sector, particularly retail real estate, encounters various challenges, including heightened competition from e-commerce and changing consumer preferences. In an environment characterized by uncertainty—ranging from economic pressures to geopolitical tensions—a stock repurchase program can serve multiple purposes. It not only supports the stock price during volatile periods, but also reflects a robust commitment to returning cash to shareholders.

The announcement comes at a critical time when many companies are re-evaluating their capital allocation strategies in light of shifting market dynamics. Simon’s proactive approach is indicative of its strategic vision and operational resilience, positioning it to navigate future challenges effectively.

Forward-Looking Statements and Risks

Simon cautions that certain statements surrounding the stock repurchase initiative may be viewed as forward-looking. While the Company is optimistic that these expectations are based on reasonable assumptions, the future is inherently uncertain. Factors such as competitive pressures, economic conditions, and changes in consumer behavior pose risks that could lead to actual results differing from projections.

The Company has outlined potential risks in its annual and quarterly reports filed with the SEC. These could include issues such as the inability to renew leases, the threat of losing key tenants, and broader market disruptions—each of which could impact performance.

About Simon®

Simon® is a leading real estate investment trust focused on owning, managing, and developing premier shopping, dining, entertainment, and mixed-use destinations. As an SP 100 company (listed as Simon Property Group on NYSE: SPG), it operates properties across North America, Europe, and Asia. These venues serve as critical gathering spaces for communities, generating significant annual sales and fostering local economies.

In conclusion, Simon's announcement of a $2.0 billion stock repurchase program reflects a strategic opportunity to enhance shareholder value while navigating a complex real estate landscape. As market conditions evolve, this initiative underscores Simon's commitment to its shareholders and confidence in its business model.