Lanxess Prepares Share Buy-Back

11th March 2020

Lanxess Prepares Share Buy-Back

Based on the authorization granted by the shareholders’ meeting in May 2019, German specialty chemicals producer Lanxess is preparing to buy back outstanding shares equivalent to 10% of equity and potentially worth as much as €500 million.

CEO Matthias Zachert said that the buyback, which will take place via the stock exchange over the coming 24 months, demonstrates management’s confidence in the strategic direction of Lanxess and will create value for shareholders.

Plans call for a two-tranche transaction of €250 million each. The first tranche of the buyback is set to begin on Mar. 12 and is due to be completed within the next 12 months. Lanxess said the timing of the second tranche will be determined following completion of the first.

Based on the Mar. 9 price of €40.30 per share, the Cologne-based company said it could buy back roughly 8.74 million of its own shares for an aggregate consideration of about €352 million. The acquired shares would be redeemed.

For more information visit www.chemanager-online.com/en/

View more Industry News

Latest News