#Sweden #share buyback #Stockholm #Essity Aktiebolag #Class B shares

Overview of Essity's Recent Share Buyback

In a significant move to enhance shareholder value, Essity Aktiebolag (publ) completed a repurchase of 270,000 of its own Class B shares between December 16 and December 20, 2024. This buyback is a part of the broader SEK 3 billion share repurchase program initiated by the company on June 17, 2024, which is aimed at efficiently managing its capital allocation and reflecting positive cash flow from ongoing operations.

Details of the Buyback

The buyback activity was carried out under the directives set forth by Essity's Board of Directors and aligns with the EU Market Abuse Regulation and the Safe Harbour Regulation from the European Commission. The decision to repurchase shares not only offers returns to shareholders but also signifies the firm’s robust liquidity position. The transactions occurred on Nasdaq Stockholm, facilitated by Danske Bank on behalf of Essity.

Weekly Breakdown

Here’s a daily breakdown of the share repurchase within the specified week:

• - December 16, 2024: 54,000 shares at a price of 299.27 SEK each, totaling 16,160,423 SEK
• - December 17, 2024: 54,000 shares at 296.65 SEK each, totaling 16,018,868 SEK
• - December 18, 2024: 54,000 shares at 295.26 SEK each, totaling 15,944,175 SEK
• - December 19, 2024: 54,000 shares at 294.99 SEK each, totaling 15,929,757 SEK
• - December 20, 2024: 54,000 shares at 292.52 SEK each, totaling 15,795,999 SEK

The collective share repurchase for that week amounted to 79,849,222 SEK, with an average price of 295.74 SEK per share, indicating a sustained commitment to return excess capital to shareholders while managing the overall equity structure efficiently.

Total Impact of the Buyback Program

Since the inception of the buyback initiative, Essity has successfully acquired a total of 7,236,000 Class B shares. The overall expenditure for these repurchases has reached approximately 2.18 billion SEK. As of the date of the press release, the total number of shares outstanding for Essity stood at 702,342,489, inclusive of both Class A and Class B shares.

This structured buyback strategy underscores Essity’s dedication to reinforcing shareholder confidence while strategically managing its financial resources. The company intends to continue with share buybacks as a regular feature of its capital allocation strategy following the ordinary dividends and depending on its operational cash flow.

Future Prospects

Looking ahead, Essity will continue to evaluate its financial performance and market conditions to navigate future buyback opportunities effectively. The company remains focused on strengthening its market position and consistently delivering value to its shareholders.

For further inquiries related to this transaction, individuals can reach out to Sandra Åberg, Vice President of Investor Relations, at +46 70 564 96 89, or via email at [email protected].