The move follows on the heels of the Swiss bank’s 2022 stock repurchase scheme, during which it bought back shares to the value of more than $5.2bn.
The newly announced buy-back will total up to $2bn, of which UBS will reportedly spend $1bn this year. In its press statement, the financial institution noted:
On 3 April 2024, we intend to commence a new 2024 share repurchase program of up to USD 2bn. As previously communicated, in 2024 we expect to repurchase up to USD 1bn of our shares, commencing after the completion of the merger of UBS AG and Credit Suisse AG which is expected to occur by the end of the second quarter.
The bank further said it aims for this share buy-back to exceed the “pre-acquisition level by 2026”. Analysts indicated that during share buy-backs, firms seek to retain larger stakes in a company, especially when stock prices are bullish. UBS shares rose by approximately 6% in the first three months of 2024.
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At the end of March 2023, UBS announced the surprise return of its chief executive officer, Sergio Ermotti, after agreeing to the arduous task of acquiring and merging with Credit Suisse. A recent report indicated that Ermotti earned about $15.9m in 2023 after UBS reported a loss for a successive quarter in February 2024. CEOWORLD magazine claims Ermotti was the highest-paid banking executive in Europe in 2023.
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The move follows on the heels of the Swiss bank’s 2022 stock repurchase scheme, during which it bought back shares to the value of more than $5.2bn. The newly announced buy-back will total up to $2bn, of which UBS will reportedly spend $1bn this year. In its press statement, the financial institution noted: On 3
The post UBS Announces $2bn Share Buy-back Programme appeared first on LeapRate. Read MoreMarket News, share buy-back program, UBS Group AG
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