Hibernia REIT, an Irish Real Estate Investment Trust (“REIT”), listed on Euronext Dublin and the London Stock Exchange, has announced a €25 million share buyback programme to reduce its share capital.
Hibernia REIT said in a statement that it has entered into irrevocable, non-discretionary arrangements with Goodbody Stockbrokers UC (Goodbody) to repurchase ordinary shares on the Company’s behalf up to a maximum consideration of €25 million.
”The Share Buyback Programme will commence today (7 August 2020) and may continue until the end of February 2021 subject to market conditions, the ongoing capital requirements of the business and termination provisions customary for arrangements of this nature. The maximum number of ordinary shares to be repurchased under the Share Buyback Programme is 68,478,208 and these may be repurchased on either Euronext Dublin or the London Stock Exchange. The purpose of the Share Buyback Programme is to reduce the Company’s share capital. It is intended that the shares repurchased will be cancelled.”
”Despite the uncertain economic outlook our business is in a strong position: our rent collection statistics are good and our balance sheet is extremely robust, with a last reported loan to value ratio of 16.5%,” said Kevin Nowlan, Hibernia’s Chief Executive Officer.
“This €25m share buyback is expected to be accretive to net asset value per share and earnings per share and will also complete the return to shareholders of the proceeds from the sale of 77 Sir John Rogerson’s Quay started with the €25m share buyback undertaken last year, ” he added.