Dangote Cement Repurchases 126.7 Million Shares As Price Jumps By N14.9

Dangote Cement Plc has repurchased 126.7 million of shares at an average price of N276.89 per share in the tranche two of its share buy-back programme.

The initial plan announced by Nigeria’s biggest company by market capitalisation is the repurchase of 170 million shares in the tranche two.

Dangote believes the share buy-back programme will drive its share price as the company will have limited shares available for trade.

In the first tranche of the programme in 2020, the company repurchased 0.24 per cent (40.2 million units) of its ordinary shares for N9.8bn.

Following the conclusion of the second tranche, the company said in a regulatory filing on the Nigerian Exchange Limited Wednesday that it has repurchased 126,748,153 shares representing 0.74 per cent of the Company’s issued and fully paid ordinary shares for N35.09bn.

“Following the conclusion of Tranche II, the total number of residuals issued and fully paid outstanding shares of Dangote Cement Plc (DCP) amounts to 6,873,559,251.

“The repurchased shares will be held as treasury shares and may subsequently be cancelled,” the company said.

The company’s share traded at N270 per share prior to the commencement of the tranche two on January 12, 2020.

But the share price has jumped by 5.5 per cent (N14.9) to N284.9 per share following the completion of the share buyback programme.