UK 04:47 Monday, 5 October 2026
Breaking news and expert analysis on fast-moving AIM and LSE listed shares
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
In certain circumstances share buybacks make sense. Where a company has surplus capital and cannot think of a way of earning an economic return on that capital it is absolutely right that it is returned to shareholders via buybacks. I prefer them to special dividends because one can elect to sell less or no stock or to stay on board with a bigger percentage of the equity. It is down to the individual investor. And it is right that surplus capital should be returned to the company’s owners (shareholders) not simply be hoarded by management.
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Comments
DiscoStu
From a certain company’s agm you were blocked from attending earlier this year.
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Resolution 10
Resolution 10 renews the authority of the Directors, to make market purchases of up to a maximum aggregate amount of £3,143,487 (representing approximately 5% of the current issued share capital) at a price no greater than 105 per cent. of the average market value of the ordinary shares over the five business day period prior to the date of purchase. This authority will expire 18 months after the passing of the resolution or, if earlier, at the conclusion of the next annual general meeting of the Company. Consolidated Ordinary Shares purchased pursuant to this authority may be held as treasury shares for re-issue.
The Directors will only exercise the authority to purchase shares where they consider that such purchases will be in the best interests of shareholders generally and will result in an increase in earnings per share.
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Apparently it was approved by 99 per cent of the shareholders in attendance.
Time to use some of those massive accruals to buy back shares? lol