Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

Nokia buys back shares to offset dilution from Infinera deal

Published 21/12/2024, 07:34 am
NOK
-

ESPOO, Finland - Nokia (HE:NOKIA) Corporation (NYSE:NOK) has repurchased 872,093 of its own shares on Friday, as part of its ongoing buyback program aimed at mitigating the dilutive impact from a recent acquisition. The shares were bought back at an average price of €4.19 per share, amounting to a total cost of approximately €3.66 million.

The buyback initiative follows Nokia's announcement on November 22, 2024, that its Board of Directors had approved a program to offset the dilutive effect of issuing new shares to Infinera (NASDAQ:INFN) Corporation shareholders and for Infinera share-based incentives. The program, which began on November 25, 2024, is set to continue until December 31, 2025, with the objective of repurchasing up to 150 million shares for a maximum aggregate purchase price of €900 million.

This recent transaction is part of a broader effort by the company to manage its capital structure following the strategic acquisition of Infinera Corporation, a move aimed at strengthening Nokia's position in the network infrastructure market. The share repurchase is being conducted within the regulatory framework, adhering to the Market Abuse Regulation (EU) 596/2014 (MAR) and the Commission Delegated Regulation (EU) 2016/1052.

Following the transaction on Friday, Nokia holds a total of 218,626,057 treasury shares. The company's buyback program is executed under the authorization granted by the Annual General Meeting of shareholders on April 3, 2024.

Nokia, a global leader in B2B technology innovation, is known for developing networks that are capable of sensing, thinking, and acting. The company's commitment to creating high-performance networks is expected to foster new opportunities for monetization and scalability for service providers, enterprises, and partners worldwide.

The information on Nokia's share repurchase is based on a press release statement issued by the company.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.