Nokia to repurchase shares worth up to $1.7b starting July

Tags: Companies
Finnish telecom gear maker Nokia today said it will repurchase shares worth up to 1.25 billion euro (about $ 1.7 billion), in line with its 5 billion euro (around $ 6.8 billion) "capital structure optimisation programme".

The firm will repurchase a maximum of 370 million shares. The repurchase is scheduled to commence on July 24, 2014 and will be valid till December 17, 2015.

"In line with earlier announced 5 billion euro capital structure optimisation programme, the Nokia Board of Directors has today resolved to commence repurchases of shares under the authorisation given by the Nokia Annual General Meeting held on June 17, 2014," the firm said in a statement.

Shares may be repurchased by way of a directed repurchase from sellers in marketplaces, the rules of which allow firms to trade with their own shares. The purchase price will be based on current market price of Nokia shares in marketplace, it added.

"The Board resolved to repurchase a maximum of 370 million Nokia shares, however up to an equivalent of 1.25 billion euro," Nokia said.

In May this year, Nokia said it will embark on a capital structure optimisation programme that includes reducing debt by $ 2.8 billion by the second quarter of 2016, repurchase shares worth $ 1.7 billion over the next two years to "improve the efficiency of Nokia's capital structure".

A month before, Nokia completed the sale of its handset business to the US-based software giant Microsoft for over $ 7.2 billion.

"The repurchases will commence earliest after publication of Nokia's second quarter 2014 results, which are scheduled for publication on July 24, 2014. The current authorisation given by the AGM is valid until December 17, 2015," Nokia said.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • RBI and government intervention is vital if all Indians are to have homes by 2022

    There is a strong case for interest subvention for India’s real estate sector.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Varun Dutt

Public perception on climate change

Climate change is already happening; however, surveys conducted in 2008 ...

Parvez Imam

The absoluteness in representations

When a representation replaces the original object or subject, a ...

Dharmendra Khandal

Religion and conservation must go hand in hand

In 1986, former president of WWF International, HRH Prince Philip, ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture