Essity's Impressive Class B Share Buyback Program
In the week of February 17 to February 21, 2025, Essity Aktiebolag successfully repurchased 270,000 of its Class B shares. This move is part of the company's strategic buyback program initiated by the Board of Directors, which aims to enhance shareholder value and manage capital effectively.
The repurchase is a segment of a broader SEK 3 billion buyback initiative disclosed on June 17, 2024. This program is projected to continue until the Annual General Meeting in 2025 and complies with the EU Market Abuse Regulation (MAR) and the Safe Harbour Regulation established by the European Commission. Essity plans to finance these share repurchases using the cash flow obtained from its operational activities following regular dividend payments, showcasing its commitment to consistently allocate capital towards shareholder returns.
Here's a detailed breakdown of the share repurchase activities:
- - February 17, 2025: 54,000 shares at an average price of SEK 283.11, totaling SEK 15,287,735
- - February 18, 2025: 54,000 shares at SEK 284.66, totaling SEK 15,371,570
- - February 19, 2025: 54,000 shares at SEK 284.89, totaling SEK 15,384,103
- - February 20, 2025: 54,000 shares at SEK 284.26, totaling SEK 15,350,180
- - February 21, 2025: 54,000 shares at SEK 287.91, totaling SEK 15,547,086
In total, the buyback during this week accounted for 270,000 shares acquired at an aggregated average price of SEK 284.97, leading to a cumulative investment of SEK 76,940,674.
By February 21, 2025, Essity’s accumulated holding of treasury shares reached 9,342,000 Class B shares, with a total share structure of 702,342,489. This includes 58,973,654 Class A shares and 643,368,835 Class B shares. The continuous buyback efforts reflect Essity's robust financial health and market confidence, leveraging strategic decisions to enhance its share performance in the competitive landscape.
The repurchased shares were bought on Nasdaq Stockholm, with Danske Bank executing the purchase on behalf of Essity. With the buyback still ongoing, Essity intends to use share repurchases as a recurring method of managing capital in the future. Such actions not only support the company’s stock price but also underline its commitment to returning capital to its shareholders systematically.
For further inquiries, investors and the media can contact Sandra Åberg, the Vice President of Investor Relations, at +46 70 564 96 89 or via email at [email protected].
Essity continues to be a prominent player in the market, and its strategic share buyback decisions reflect solid leadership and a promising outlook for future growth and shareholder engagement.