The company also told shareholders yesterday that shares acquired or held by subsidiaries would be treated as treasury shares and accordingly reduced the number of voting interests to 4231343966 shares.
“Shareholders of Steinhoff are hereby advised that the company informed the authority for financial markets in the Netherlands that the management board of the company has undertaken share buy-backs under the authority granted by shareholders,” the group said.
Jordan Weir, an equities trader at BayHill Capital, said shareholders should not expect anything particularly significant in the near term with regard to this share buy-back.
“As it has been treated as treasury shares, voting rights and dividend payouts fall away from those roughly 78.3 million shares, indirectly giving current shareholders a fraction more dividend income and voting power per share than they currently hold. This is obviously favourable to the underlying shareholder,” Weir said.